Protecting Your Finances During A Difficult Divorce

Going through a divorce can be a rocky road.

If you have children, it can be devastating. It can affect any members of your family and even your friends. That’s not even mentioning your mental well being. With all these different factors being affected, we often forget something that might not seem as important.

When you go through a divorce, your finances could very easily be under attack. Certainly, there is the possibility that the two of you will work through the divorce, respectful of the others wishes.

But, if you can’t then you are in for a difficult time protecting your money and making sure you get to keep what’s rightfully yours. We have all heard the jokes about how no matter what, with a good lawyer someone can take everything in the divorce. Well, it’s true, and you need to be prepared.

Changing The Rights Of Your Home

If you are living together when you get divorced, one person is going to move out. The other will be left with the house but which way that occurs will depend on the ownership of the property.

If you are joint owners, it can get a little complicated because you may need to change this. Otherwise, if you pass away, your partner could automatically be entitled to claim the property.

You should speak to a lawyer about this possibility and ensure you take the appropriate action.

Mortgages

A quick divorce can be fantastic because it could often mean the situation has been dealt with in a neat and easy way. But, it can leave you in a position where you can no longer afford some of your finances.

This can be true if you are trying to cope with a mortgage on your property. If you can no longer afford the payments of the mortgage without the income of your partner, you need to speak to your lender.

You should be able to explain your new situation and work out how to make the payments. Obviously the plan will change but you should still be able to keep paying off the property at a slower pace.

Credit Cards And Joint Accounts

If the divorce is not amicable, this can be a nasty business. Joint accounts, in particular, are dicey. One of you can easily withdraw all the money from the accounts, effectively leaving the other with nothing.

You must have an agreement that both of you need to give permission before any money is withdrawn or to freeze the account. However, freezing the account leads to other problems because to unfreeze it you will both have to agree.

If they refuse, you could be left without money that you depend on. It is a good idea to get in touch with your bank and your employer to make sure your wages go into a separate account after the divorce begins.

Credit cards are also problematic. If you have an account with a card your partner has, you will be liable for all of their debt. You need to get this fixed immediately if you think it’s going to be a nasty separation.

By keeping in contact with a good lawyer, a divorce does not have to be as difficult. But you do need to take these steps to protect yourself.

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Poppy

Poppy

Poppy is a money-saving expert in the UK.