Credit card debt often plays a significant role in divorce—both as a factor in the cause of the divorce and as an obstacle to dissolving the marriage, as responsibility for the debt must be agreed to by the divorcing spouses or determined by the court.

If the spouses live in a community property state (as opposed to a common law property/equitable distribution state) and the credit card was applied for and issued to only one of the spouses, the bank may only be able to seek payment from the spouse in whose name the card was issued and the credit was extended—but in resolving the divorce case, the court (judge) may order community property sold to pay the credit card debt, or may order the other spouse to pay the credit card debt. Community property states generally include Alaska, Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin.

In Tennessee, which is not a community property state but rather an equitable distribution state, credit card debt incurred during the marriage is typically considered marital debt and responsibility for it must be divided equitably between the spouses upon divorce. This means that the court will look at various factors to determine a fair division of debt, rather than an automatic 50/50 split. Factors may include each spouse's income, earning potential, and the circumstances surrounding the debt's accumulation. If the credit card was in one spouse's name only, the bank may initially seek payment from that individual, but the divorce court can still consider the debt as part of the marital estate and assign responsibility for payment to either spouse. The court may order one spouse to pay the debt, or it may order the sale of marital assets to satisfy the debt. It's important for individuals going through a divorce in Tennessee to understand that the division of debt will be based on fairness and equity, rather than the equal division that is characteristic of community property states.