How does divorce affect your credit?
One of the things that may change quickly and dramatically during your divorce is your credit score. It may begin to plummet if you are not taking some proactive steps to protect it.
But knowing where to start may be a daunting and confusing task. Here are some ways you can protect your credit score to keep if from nose-diving:
- Late payments
- Make payments on time, every time
- If you do receive a late fee, reach out to the lending institution to see if they can help ease the late charge
- Run a credit report
- This is a good place to start learning about all of the accounts your name is attached to
- Reassess your lifestyle now
- If your spouse was the main wage earner in the family, you must regroup your budgetary needs for moving forward, as your income will dramatically change
- Refrain from large purchases
- Stay away from vacations, vehicles and non-necessary purchases
- Monitor your accounts closely
- Request and provide copies of all financial statements on a monthly basis to each other
You don’t have to brave the financial waters alone! Reach out to a financial advisor who is well versed in dealing with divorces. A neutral financial expert can assist you and your spouse in developing a mutual financial agreement that is fair for all as part of your collaborative divorce team.
Our team at Family Divorce Solutions is a group of well respected, experienced and trained attorneys, mental health professionals, financial professionals and child specialists who work as a team to reach a complete and satisfactory resolution for everyone involved.
Contact us today to see how we can help you and your family navigate thru the divorce process!
Note: This information is general in nature and should not be construed as legal/financial/tax/or medical advice. You should work with your attorney, financial, medical or tax professional to determine what will work best for your situation.