Key Steps to Protecting Your Credit During Divorce

 Posted on February 28, 2023 in Divorce

Understanding the financial implications of a divorce can be a highly daunting task. An area of particular concern may be how your divorce will impact your credit. Unfortunately, debt and the effect of debt on credit scores can be critical components of the divorce settlement. They can have a lasting impact on the financial well-being of both parties. Today, we will discuss what is most important to know regarding how to protect your credit most effectively during divorce proceedings. If you are getting a divorce and have concerns as to how your divorce may impact your credit, contact an experienced divorce attorney to help ensure that your rights remain protected and that you understand your options moving forward. 

Essential Steps to Protecting Your Credit During Your Divorce

Here are some essential tips to consider if you want to protect your credit during your divorce. These tips include the following:

• Get your credit report – One of the first steps is to get your credit report. This will allow you to see what is on file and ensure there are no inaccuracies or fraudulent activity. 

• Remove your spouse as a user on credit cards – You should also remove your spouse as a user on any credit cards you have. This will help ensure that new charges are not shared.

• Create a budget – Creating a budget is essential to make sure you can cover all your expenses and still be able to save for the future. Ensure you include all your fixed and variable expenses and adjust where needed to stay within your budget. 

• Pay your bills on time – Make sure you are paying your credit card bills on time, as late payments can be highly determinantal to the health of your credit score. Many banks allow users to set up automatic payments, which can be an excellent way to ensure you do not accidentally miss any payments. 

Also, please be aware that Illinois law requires you to complete a financial affidavit to establish assets and liabilities. An experienced divorce attorney can help you complete these forms accurately. Once your divorce has been finalized, continue to monitor your credit to ensure there are no inaccuracies or fraudulent activity. Also, make sure to update information with your creditors, like a new home address or phone number. ce.

Contact a Wheaton Divorce Attorney

The knowledgeable DuPage County divorce lawyers with The Stogsdill Law Firm, P.C. can help you every step of the way during your divorce to ensure your rights and best interests are always of paramount concern. Call 630-462-9500 for a private consultation.

Source:

https://www.aarp.org/money/credit-loans-debt/info-12-2012/protect-your-credit-in-divorce.html