Credit 911: Secrets and Strategies to Saving Your Financial Life

CHAPTER 4

Affairs of the Wallet: Divorce

Divorce is a tough topic and a painful process. Statistics show that at least 50 percent of first marriages end in divorce, and 75 percent of all subsequent marriages meet the same fate. Let’s face it, with statistics like that, most of us have either been through it or are likely to do so in the future. While no one plans on getting divorced, it’s important to know how to protect yourself and your credit should it happen. These are the keys to coming out on the other side of divorce with your financial bearings and credit intact.

Any divorce has to include planning before the legal steps are taken, during the legal process, and even afterwards. You cannot just trust the legal system to completely dissolve a marriage, and you certainly cannot rely on your divorce attorney to protect your financial life. In one respect, the attorney serves only one purpose: knowing which papers to file with the court and walking you through the legal process of getting a signed “final” divorce decree. That attorney has no incentive to also counsel you on the related affairs of the wallet. In fact, I could even make the argument that the attorney’s best interest includes keeping you in the dark. If and when troubles arise later, you are likely to hire the same attorney (for additional fees, of course) to help sort out the mess.

A divorce attorney will always ...