Your credit is everything in the modern world. If you want to buy a home, a car or buy something on a credit card, it’s vital to be in good standing with the various banks and financial institutions of the world. However, many spouses find themselves in difficult credit circumstances after they complete their divorce process. Here are two things you can do before and/or during your divorce to improve your post-divorce credit situation:
Get an independent credit card
You’ll want to establish credit in your own name independently of your spouse. This is because — if you’ve only used a joint credit card — once you break free from your spouse, that joint credit will not carry a lot of weight when you wish to purchase a home or new car. Start building your independent credit as soon as possible.
Close all of your joint accounts
The date at which you decide to close your joint bank accounts and joint credit card accounts should probably not come before you discuss your divorce with your spouse; however, this is an important step to protect yourself from a spouse who might try to rack up a lot of credit-card debt just before the divorce. If possible, settle all joint credit-card debt and close those accounts as soon as you possibly can.
If you’re about to get divorced and you’re worried about how the process could affect your credit, you might want to discuss the matter with a qualified Texas divorce lawyer. At our firm, one of our primary responsibilities is to protect our client’s financial circumstances so that they are in the best economic shape possible in the years after the dissolution of their marriages.