Australian Family and Fertility Law

How Are Debts Divided in Divorce? Australian Property Settlement Explained

Stephen Page

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How are debts handled in an Australian property settlement? It's more complex than you think.

Bruce Provan, Managing Director at Page Provan Family & Fertility Lawyers, breaks down how "the pool" is calculated — assets plus superannuation minus liabilities — and why there's no automatic 50/50 split.

This episode explains which debts are included in property settlements (mortgages, joint credit cards, reasonable living costs) and which are excluded (gambling, legal fees, and "waste" — money one party recklessly spent). And here's the catch most people miss: even if the court orders one party to pay a debt, that order doesn't bind the bank. If your ex stops paying the joint mortgage, the bank can still come after you.

In This Episode:

  • How "the pool" is calculated in property settlements
  • Assets + superannuation - liabilities
  • Why there's no automatic 50/50 split
  • Which debts are included in settlements
  • Which debts are excluded
  • What counts as financial "waste"
  • Why court orders don't bind banks
  • Protecting yourself from joint debts post-separation

Need expert property settlement advice?
Visit Page Provan Family & Fertility Lawyers: https://pageprovan.com.au/ 

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