Protecting Financial Interests in Divorce
Introduction
Divorce has an interesting way of bringing out the “crazy” in people. Sometimes you do not know the true side of your spouse until the divorce bells start ringing. You need to protect yourself.
Four Things Every Divorced Couple Should Know During and After Divorce
1)Moving Forward Alone
Married couples share everything, and I do mean everything. You get used to being married. You get used to “checking in” with the person before you buy something. It comes as a great shock when you get divorced. It is just “you” again. That means you are responsible for everything on your plate, including protecting your interests by keeping a separate bank account for a safety net.
You might have to take off the blinder. Start seeing them for who they are. You are now getting divorced. Sometimes the “niceties” get suspended. Your ex could try to ruin you financially without you knowing it. You need to take financial steps to protect anything that is yours, including business assets and account information.
FYI:
That does not mean go through old statements looking for trouble. Keep tabs on everything, but do not strike unless you need to.
2)Credit and Your Business
Yeah, you will need to keep an eye on your credit score. There might have been something your spouse did while you were married. However, it might not come to the surface until after you are divorced.
Do you have a business together? You might have divided up the equity amicably, but your credit score might say otherwise. It is best to speak to a lawyer about business matters before the ink dries on the divorce papers. Selling the business might be a good idea in theory, but not in practice.
3)Real Estate
You might have inherited property during the marriage that your now “ex” says he wants. That is your property as long as your name is on the deed. Some exes play is sweet so they can get their hands on something that is not theirs.
You need to protect yourself in case that happens. That is why you hired a lawyer. Your lawyer can tell you how to handle the situation, especially if your ex starts to play some dirty tricks.
4)The Road To Poverty
Poverty sometimes happens with divorce, especially if you married for money. The person you married could leave you high and dry. You need to build up some savings. The money you save is your way of “starting over.”
You could lose money through a divorce with child custody. Some people go into a marriage thinking the person they married is “loaded.” They come to find out later that it was nothing more than a “bad debt hidden by a good name.”
Divorce is going to impact everything from retirement plans to annual incomes. You need to plan in case someone leaves you stranded.
Resource(s):