Aurora, CO asked in Divorce for Colorado

Q: is borrowing from a HElOC on marital property to pay bills for a non-marital asset considered commingling of funds?

Should I repay the HELOC borrowing back to avoid commingling? With non-marital funds or thru regular wages?

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Sabra M. Janko
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Answered

A: It would be important to know what the non marital asset was, when it was acquired and whether it appreciated in value during the marriage, creating a marital interest in the increase in value.

However, generally to borrow from a marital asset during the marriage, it is necessary to have the consent of the other party. Generally also co-mingling involves the opposite - putting separate funds into a joint asset. However, every case is fact specific. This asset may have a marital interest, though separate property. Also many people think that whether marital property is determined by title rather than date of purchase so it is not possible to say whether the asset desired as separate is separate. It is only possible to give a general answer to a general question

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