Divorce can be chalked up there with one of the most traumatic events of one’s life. Beyond the emotional, and physical toll it takes it is also common that it takes a financial toll as well. The credit of both parties can be negatively affected but there are steps that can be taken that can start the credit healing process.
Once it is determined that divorce is inevitable, end as many mutual credit relationships that exist as soon as possible. This protects both parties from potential irresponsible and spiteful behavior that may arise. The sooner the financial ties are severed the better. Make a list of the creditors and call each one to determine which have both parties listed. Don’t take for granted that you will remember, it is best to check to make sure. Keep in mind that you (and your former spouse) are responsible for keeping your creditors informed.
More often than not there will be debts that remain open with balances. It will not be possible to remove your name from the account until the account has been paid in full. It is important that you and your former spouse create a plan of action and accountability for each party as soon as possible. As a precaution it would be wise to create a budget with the expectation of being responsible for all outstanding payments (in the event that the other party become vindictive and not hold up their end of the bargain).
Be sure to obtain a credit report early on (and monitor it frequently) to ensure that your credit maintain in good order. Monitoring your credit will ensure that you haven’t missed anything (and that your former spouse is holding up their end of the bargain).
Should you find yourself reading this and it is already too late. Credit scores have been diminished and you are finding it difficult to navigate on your own. Contact AZ Credit Law Group and we will help.
My firm has 3 goals – be cost effective & efficient, make complicated things simple, and change the way people think about attorneys. We do this by offering flat rates with payment plans, educating our clients, and by encouraging everyone to ask us questions to better understand what we do & why we do it. I am a credit attorney and I love helping people with debt and credit legal issues.
The Arizona Credit Law Group, PLLC
700 E Baseline Rd, Suite C3
Tempe, AZ 85283
Phone – 480.907.6088
Fax – 480.907.7126
Serving Tempe, Chandler, Gilbert, Mesa, Scottsdale, and Phoenix, Arizona