why you need an attorney during a divorce

3 Things You Should Do To Protect Your Financial Future When Divorcing

28 March 2017 by Diana Butler

It is no secret divorce can be expensive. But many people do not realize just how financially difficult a divorce can be. If you are struggling in your marriage and are contemplating divorce you should start preparing yourself now. You may want to talk with a lawyer, like Law Office Of Leonard Ernest Kerr, about your financial situation during a divorce. Here are some things that you should do to protect yourself and your finances.

1. Build Credit In Your Name

It is not uncommon for one spouse to carry the bulk of the credit. For instance, your spouse may be the primary name on the house, car loans, credit cards, and so forth. If you have been faithful in making your payments, this means that your spouse will have a good credit score and a lot of credit history. You, on the other hand, may have little to show. This means that if you try to get a loan for a car, rent an apartment, apply for a credit card, and so forth, you could be denied simply because you don't have any credit history.

You should start building up your credit right now. Get a credit card in your name only and use it on small purchases that you can pay off quickly. This will help you in the long run.

2. Start A Savings Account

Many people have joint accounts for their checking, savings, retirement, and so forth. By the end of the divorce you may have split those accounts, but during the divorce when everything is murky, it can be hard to get your hands on that money. Your spouse could drain those accounts and you might be left with nothing to support yourself or pay your legal fees. This is why you should start a savings account early on and put money aside to help with simple expenses and legal fees if needed.

3. Get Out Of Joint Debt

If you have debt that is in both of your names you should do everything that you can to pay it off. For instance, your estate will be split, and in some cases right down the middle. This means that your spouse could be responsible for paying off a debt that has your name on it, so that if they miss payments or default on the loan, it could hurt your credit score and chances of getting additional loans in the future. It is best if you can cut off all financial ties with your spouse, and this will be done by getting out of joint debt.

By understanding these things you can financially protect yourself before you divorce. 

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