Liable forhis Gambling Debts?
by Lynn Brenner

My husband is a compulsive gambler. He has debt on many credit cards, plus cash advances. I've never countersigned any of these cards; they're strictly his. If anything should happen to him, would I be responsible for paying them back? My second question, and main concern, is about my home. This is the only asset we own jointly. He will not sign the house over to me. Is there anything I could or should do to protect myself and my home? It's the only thing that hopefully someday my children will inherit. -A.B., Melville

You're not legally responsible for your husband's gambling debts no matter what happens to him. What's more, his creditors can't touch the house you own together during your lifetime. Surviving him is the best way to ensure your kids will inherit it.

Under New York law, both spouses are obligated to pay debts that either of them incurs for "necessaries," such as food, clothing, shelter and health care. "But gambling debts obviously wouldn't qualify as necessaries," says Lawrence Davidow, an Islandia attorney (who is the president-elect of the National Academy of Elder Law Attorneys)

You and your husband own the house jointly with right of survivorship; the surviving owner automatically inherits the property. This is true whether or not the joint owners are married to each other. But when a married couple are joint owners, they are "tenants by the entirety," which means they have special protection from each other's creditors, says Davidow. As tenants by the entirety, each of you is considered to be a 100 percent owner. (When the first spouse dies, the surviving spouse simply continues to own 100 percent.) Since each spouse is deemed to own the entire house, no creditor of either spouse can go after it, says Davidow.

At worst, your husband's creditors could put a lien on the house—but they couldn't pursue that lien unless he survived you. If he died first, they'd be out of luck: The lien would be extinguished, and you'd own the house free and clear. You don't have to fear that your husband may alter the deed: Tenancy by the entirety can't be unilaterally changed by either spouse, Davidow says.

To protect yourself, you should keep as many financial accounts as possible in your sole name, says Lauren Gadkowski, a Boston-based certified financial planner. Have your paycheck automatically deposited into your own checking account, for example. She advises telling your financial institutions, in writing, that your husband is not to be given access to your accounts under any circumstances, and that they should contact you immediately if he tries. Do the same thing with any college savings accounts for your children, she adds.

Clearly, your husband needs professional help. So do you; living with an addict is emotionally as well as financially exhausting. It may not be in your power to persuade him to seek help—but you can take care of yourself, which is also the best way to care for your kids.

Start by visiting the New York Council on Problem Gambling Web site at www.nyproblemgambling.org or by calling the Council's help line at 800-437-1611 for resource and referral information. This is a 24-hour telephone line, staffed by people who are trained to handle both crisis and non-crisis calls about a wide range of gambling-related problems.

"It's usually someone else who first recognizes the problem—not the gambler," says Gadkowski.

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