How Can I Protect My Credit Rating During My Florida Divorce?
Divorce is very difficult emotionally, but it can also place you in a vulnerable financial position. You may not have the means to pay your mortgage, credit card bills, or personal loans. Your spouse may also fall behind on their share of the payments, or feel as though you have not fulfilled your financial obligations. All of these factors can have a very negative impact on your credit rating.
Protecting your credit rating during divorce is very important, as it can help safeguard your future. Even just one missed payment can make it much harder to rebuild your life and move forward after divorce. Below, our Tampa divorce attorney explains how to protect your credit rating throughout the process.
Common Risks to Your Credit During Divorce
It is easy to focus on the emotional impact of ending your marriage. Although it is important to protect your peace, it is just as critical that you protect your credit rating. Unfortunately, it can be all too easy to overlook financial responsibilities, particularly if there is significant conflict and tension between you and your spouse. Some of the most common issues to arise are as follows:
- Joint debt: You and your spouse are both responsible for the balance of loans and credit cards until the account is refinanced or closed.
- Mortgage payments: If the marital home is even partly in your name, missing a payment will negatively impact your credit score, even if you moved out during divorce proceedings.
- New debt incurred by your spouse: The equitable distribution laws in Florida may result in you being found liable for any debt your spouse incurs before the divorce is final.
- Not updating accounts: Failing to update your accounts can result in your former spouse still being connected to your credit report.
Like all other property, debts are divided fairly during divorce. Still, this does not protect your credit rating until your divorce is finalized.
How to Protect Your Credit Rating During Divorce
While you cannot control your spouse’s spending habits, you are in control of your financial future. There are many steps you can take to protect your credit rating during divorce and they include:
- Obtain a credit report from all three bureaus to identify all shared accounts.
- When possible, close or freeze joint accounts to prevent your spouse from incurring new charges.
- Establish automatic payments for any bills you are responsible for paying.
- As part of your divorce settlement, transfer or refinance loans into one spouse’s name.
- Keep detailed notes of agreements and payments made with or to your spouse.
Schedule a Consultation with Our Divorce Attorney in Tampa
Divorce is hard enough without it ruining your credit rating. At All Family Law Group, P.A., our Tampa divorce attorney can provide the legal advice you need on all aspects of your case so your rights are protected and you can move forward with confidence. Call us now at 813-672-1900 or fill out our online form to schedule a free consultation and to learn more about how we can help with your case. Se Habla Espanol.
Source:
leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/0061.html
