Credit Cards and Divorce: Who’s Responsible
Divorce brings many daunting and exhausting questions to try to answer, but it doesn’t have to be that way.
Let me tell you why.
When you choose the collaborative divorce process over a court litigated divorce, you and your spouse will have access to a team of experts, such as a neutral financial advisor, mental health professionals, child specialist, divorce coach and an attorney for each spouse.
These divorce professionals will help both of you navigate your divorce in a more cost-effective and timely manner, all while keeping your family unit intact for the future.
When we meet our clients for the first time, many ask us about their credit cards, both shared and individual accounts. Here are a few points we like to share with them:
- Find out the balance on each card you share
- Cancel or separate any joint cards as soon as possible. If you can’t close it, stop using it or ask the bank to freeze it.
- If you do not have an individual credit card, consider getting one – it will help you to build your credit score
- Depending on what state you live in will determine if you are financially responsible for the debt
- If you are a cosigner, then most likely you will be held accountable for the debt, too
- Print or download all statements for at least the last year before you close an account
There are many twists and turns to untangle a couple’s financial landscape, and our team of experts can help both of you make the right decisions regarding your credit cards and what responsibility each of you has to settle the debt.
The Collaborative Practice San Diego is a nonprofit, multi-disciplinary referral network of independent professionals of attorneys, mental health professionals and financial advisors working together to learn, practice, and promote Collaborative processes for problem-solving and the peaceful resolution of family law issues, with an eye toward preserving the emotional, as well as the financial assets of the family.
Contact us today to see how we can help you and your spouse manage your credit card responsibility during your divorce.
Note: This information is general in nature and should not be construed as legal/financial/tax/or medical advice. You should work with your attorney, financial, medical or tax professional to determine what will work best for your situation.
