On behalf of The Walters Law Group, Ltd. posted in Divorce on Monday, October 14, 2013.
Divorce can take huge emotional toll on an individual, but it does not have to be a financial burden. Individuals who are in a marriage that isn’t working out might want to take a few simple steps to protect themselves financially.
First, individuals going through a divorce need to educate themselves on family finances. If the one spouse has taken the lead on the household finances, it’s important for the other spouse to understand the breakdown of household accounts. Without getting a complete picture of the joint accounts, it is unlikely that the couple will receive equitable shares. Since debt acquired during the course of the marriage is often split equally between the spouses in a divorce, it’s important to close joint accounts. However, the newly divorced individual will need to set up personal accounts to keep a good credit score.
It is also important to make sure you stay insured. If individuals received health insurance from their spouse, they may be able to find a new provider from their employer or through a broker. Individuals who have life insurance may also want to update their policy and remove their spouse as a beneficiary on their plan. Even when following these helpful tips, divorce is often complicated.
When a marriage is ending, it may be helpful to allow a family law attorney to review the case and advise you throughout the process. An attorney may be able to help with the division of assets, child custody issues or arrange for family counseling.
Source: FOX Business, “5 Money Moves to Make During a Divorce“, Holly Johnson, October 08, 2013