Entries (RSS)
If you are in the throes of divorce, it’s important to protect your credit. Your finances can take a real hit during divorce; and women usually suffer more than men, writes Katherine McKee for FirstWivesWorld.com (read our previous post for a review of the website). “Without a solid credit history in your own name, you won’t be able to qualify for re-financing the marital home. And you’re also likely to end up with high-interest credit cards and auto loans,” she warns.
Follow these tips to protect your credit rating during and after divorce:
- Pay off joint debts. Until they’re paid, you’re both responsible. If they can’t be paid, freeze the account so neither of you can increase the debt.
- Get a credit card in your own name, then cancel joint credit cards. Make sure you remove your name as a user on your spouse’s cards to prevent their credit issues from also being reported under your name.
- Pay off car loans and retitle each vehicle in only one name.
- If you have trouble paying monthly bills due to illness or job loss, talk to your creditors and work out a payment arrangement. Unpaid debt will be reported and can lower your credit score.
For more tips, click here to read the whole article.
I find this blog post very helpful. If you are going through a divorce you are very emotional and may lose track of your finances. This blog is very concise and to the point. Very helpful!