Debt Collection and Divorce

What are the debt collection aspects of divorce?

Here at Australian Debt Recovery Services, we get a lot inquiries about debt collection when a relationship breaks down. Often people who are involved in a relationship give each other money without any formal relationship being recognised. THere are usually no documents invovled and although it seems as if everything will be fine at the time, this lack of formality can lead to a situation later on where expectations which we present at the time for repayment of a loan or a the status of the money as gift.

Later on, one of the parties may claim that they are owed money and get into a dispute about the fact that the money should or should not have been paid. One or both of the parties may then claim that a defacto relationship existed or did not exist, or if the parties are married and then divorced, the property settlement aspects of the family law act will apply to the relationship. However, there are time limits which apply to the claiming under the family law act and the defacto related provisions of the family law. If the matter festers beyond the natural time limits of these provisions of the law. HOwever, because the statute of limitations in relation to debt recovery normally runs for the 6 years, the casting of these actions can occurr as a debt recovery matter later on if there any documentation at all relating to the recovery of the debt.

If you have any questions in relation to any of this, you can ask one of the lawyers online at the moment. ALternatively, you can post your matter for an intial free assessment of the matter and one of the people at debt recovery services will look into this for you and get back to you as soon as possible.

Debt Collection Letter Resources