Divorce Financial Advice For Before, During, And After Divorce
Divorce is unpleasant and will inevitably change your financial situation. This is why you need to be careful with how you proceed so that you can start your new life on the best possible financial footing. This divorce financial advice will help you navigate your separation without destroying your wallet.
Steps To Take To Help Your Finances During A Divorce
Hire An Attorney
One of the first pieces of divorce financial advice you need to follow is getting an attorney. Hiring a divorce attorney should be one of the first things in the divorce process that you do.
Even if you are amicably splitting away from your spouse, you still need to have adequate legal representation to help guide you through the complicated steps of the divorce process.
Create A Child Custody Agreement
Another important piece of divorce financial advice is to create a child custody agreement if you have children. You should meet with a family law attorney who can help you create this agreement.
This is important because your divorce will complicate your financial situation. You will likely have to create a child support agreement to go with the custody plan, and you might have to pay for other things like travel and babysitter expenses.
Create A Separation Agreement
Once you have hired a divorce attorney, you should focus on creating a separation agreement. Some couples continue to live together until their divorce is finalized. However, in most cases, one partner moves out of the home before the divorce is completed.
This also means that you have to reevaluate your budget. Your budget will dramatically be burdened if you are sponsoring a second household on it. It is ideal if you and your spouse are both spending less than a quarter of your income on housing. It also means that it is ideal if you are both working.
Make Sure You Itemize Your Possessions
Itemizing your possessions is another important bit of divorce financial advice to follow. You will have to split your possessions with your spouse in the process of getting your divorce. You will have to make a detailed list of every item in your home. It will help if you take pictures of these things to go along with the list.
You should make a list of the items that you and your spouse own together, and the items that each of you owns individually. This will help make it easier to divide your possessions later.
Make Sure You Organize Your Paperwork
The next piece of divorce financial advice is going to be to gather all of your legal and financial paperwork into one place. It is a good idea to keep all of this in a binder for easy access.
The documents that you gather should include your marriage documents, tax records, as well as any business documents, end-of-life plans, and real estate paperwork that you have.
Other important records might include bank statements, retirement accounts, loans, insurance documents, and any credit card statements that you have.
This information will all be important during the divorce process, so you should make sure that it is readily accessible.
Protect Your Credit Score
Getting a divorce probably will not have an immediate impact on your credit score. However, your divorce might cause you to miss a bill payment which will have a negative impact on your credit score. Another thing to consider is that if you live in a community property state, you and your spouse will both be responsible for any debts that the other has. If your spouse misses one of their bill payments, this can even hurt your credit score.
Getting Help With Delaware Title Loans, Inc.
Divorce will have an impact on your finances no matter what. If you find that you need to pay for an emergency expense that you do not have the money to cover, it is easy to get stressed out. However, there are options that you can consider turning to for help.
One of these options is getting help from Delaware Title Loans, Inc. This is one way that you can get fast cash based on the value of your vehicle title. The advantages to getting car title loans in Delaware are:
- You can keep your car while you pay off the loan
- You can apply with good, bad, or nonexistent credit
- You can have your cash quickly deposited into your account
- There is no store visit required, they will come to you
If you choose to apply for car title loans in Delaware, there are just a few things that you need to bring with you:
- Your driver’s license or another valid form of government-issued photo ID
- The lien-free title to your vehicle
- Your vehicle for inspection
Divorce will shake up your finances, but there is a way to make it through. Use the steps in this guide to help get a grasp on your finances during the process of divorce.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.