Car finance

guy_n_cognito_tu · 2023-01-07T17:24:34+00:00

Wait…….she wants you to pay her to keep her vehicle??? I’m assuming you also have a vehicle?

Gattsama · 2023-01-07T17:55:27+00:00

So every asset and debt at the time either filing or separation (varies from from state to state). The car is an asset (how much it's worth) and a debt (what's left on the loan). BOTH are to be split 50/50 based on the current value at what ever date is used for calculations. Doesn't matter who paid for what previous, who's name is on the title or loan, it's all communal property. However, since only person can physically keep the car what normally happens is one person get's 'the car' and the other gets a credit.

Eg. Bought car for $20k, current value of car is $16k. You have loan for $18k. You each have -$2k in that car. Let's also say you have a 401k at work with $50k in it. So you EACH have +$25k from that account. And you each have VISA with $5k debt each. Ultimately each of +$23k total.

How you divide that does't matter to the courts. Just as long as it adds up to $23k each. You need to make a spreadsheet of ALL assets and all debts. Add it all up and divide by 2. From there it doesn't matter to the courts how you split it.

Eg 2: you keep all of your 401k, you owe her $25k. You give her your equity in the car ($8k) and assume all of her VISA debt ($5k) and $13k (of the $18k car loan). This all adds up to the same end result BUT you keep all of your 401k. Over the years the car will only depreciate and the 401k will grow. But that doesn't matter either, the courts only care about the value at the time of final settlement.

Again it's a community asset/debt, doesn't matter what or who paid for it previously. The eX hadn't worked in 12 years, I paid for EVERYTHING. But everything it still split 50/50, I don't get any extra credit. In your case I don't understand exactly what your STBX is purposing, but use the above logic and just make sure it all balances out to 50/50 over all. In my case I keep my 403b (same as a 401k) and she got a bunch of other assets (mostly cyrpto so jokes on her). Everything came out more or less even.

Title	Car finance
Author	Ok-Quality-9739
Upvotes	4
Comments	3
Date	January 7, 2023 4:09 PM UTC (3 years ago)
Subreddit	Posted in /r/Divorce_Men
Original Link	https://old.reddit.com/r/Divorce_Men/comments/105skkm/car_finance/
Archive Link	https://theredarchive.com/r/Divorce_Men/car-finance.1146626 https://theredarchive.com/post/1146626

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