Financial issues are a leading cause of divorce in the United States. More than 93 percent reported that financial problems increased the amount of stress in their lives (CCCS 2003). While discord over money can strain a marriage, divorce will not eliminate the root issues.
With the help of a lawyer, you can protect your future and your finances by avoiding common financial pitfalls during the divorce process. If you’re facing a divorce, here are some steps you can take to protect your financial security during and after the legal process ahead.
Keep Tabs on Your Credit Report
Checking your credit score every month is an easy way to get an overall view of your outstanding loans and debts shared by you and your spouse. Being aware of what is owed will make the planning process throughout your divorce much less painless.
Close Joint Bank Accounts
To avoid accumulating additional debt with your spouse, close all of your going bank accounts and credit cards. Open a new bank account in your name, and start this process as soon as you can.
Get Personalized Financial Help
Each financial decision made during the divorce process will affect you, and many times, long term affects. Some examples of important financial decisions may include your retirement plan, how to divide paying for your children’s education, who keeps the house, and a lot more. To help protect your finances, seek out the advice of an attorney, accountant, and/or financial planner if you need assistance with these topics.