subject: Credit And Divorce-secrets You Should Know To Protect Your Credit During A Divorce [print this page] It's unbelievable that you are going through a divorce with the person you once had close ties too. But sometime when relationships do not work out, you have no other choice but to seek a divorce. Break ups in a marriage could have a damaging affect on your credit report if you do not take appropriate action to protect it. Listed below are a few tips you can use to safeguard your good credit during a divorce.
Credit and divorce -What should we do about bills during the divorce?
Before you get divorced, make sure that you do the following:
Credit and divorce - Pull your credit report
Check your credit reports for joint accounts and authorized user accounts. Furthermore, Check to make sure that your spouse information is not merged with yours. If there are authorized user and merged accounts, dispute it with the credit bureau asking them to separate the accounts and remove your spouse name from your credit report. Three months after the divorce is final, check your report again to make sure your spouse is not opening new accounts in your name. If so, dispute the items as identity theft and put a fraud alert and a credit freeze on your credit report.
Credit and divorce - Credit cards
Call the credit card companies and let them know that you want to pay off the balance of the cards and close the accounts due to circumstantial events. If your spouse is an authorized user, have him or her removed. You can then open new accounts in your name. If your spouse is giving you a problem as to closing the accounts, have the credit card company freeze the accounts. Follow up with a letter to the lender reiterating that you want to close the account. Then order your credit report 30 days later to make sure your accounts have been closed. Once the divorce is over, send the creditors a copy of the
decree, just in case there is a problem in the future.
Credit and divorce - Checking and Saving
You should split what's left in your joint account with your spouse, then close that account and open a new one in your name only.
Credit and divorce - House
If you have no kids, then you and your spouse can sell the house and split the proceeds. If your spouse decides to keep the house with the kids, then try to have the house refinanced with just his or her name on it. Do not sign a quitclaim deed or let your name be removed from the title because you will lose ownership and still be responsible for paying the loan.Make sure you have the mortgage payment sent to you to keep track of the payments.
Credit and divorce - Car
Try to sell it first and then split the proceeds. If the spouse wants the vehicle, try to have it refinanced in his or her name. If that is unsuccessful, keep your name on the title and make sure your spouse is paying the bill by having the statement come to your house.
Concluding, going through a separation with the one you love is not fun, but with the proper education on how to protect your good credit during this stage, will produce great results. Now that you have gain additional knowledge, go out there and take action.
