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Why is having a prenuptial agreement a good idea?

As you approach your marriage, one thing you've heard people tell you time and time again is to think about having a prenuptial agreement. Personally, you've always felt that asking for this agreement was like telling your fiance that you don't trust them.

The reality is that a prenuptial agreement has many benefits for you and your fiance. While it does help manage factors that come into play during divorce, it can also be used to make sure all your assets are disclosed and that you both understand the debts or assets that are coming into your marriage from both sides.

Why does disclosing your assets or debts matter?

Having a prenuptial agreement is a good idea in the sense that it provides you with a list of items that you've brought into the marriage. That makes it much easier to identify premarital assets if you later end up going through a divorce. That could be extremely helpful to you, especially if your marriage lasts for years and you're not sure what is or is not going to be considered marital property when you file for divorce.

Prenuptial agreements let you detail how you want to divide marital debts or assets, too. This can help protect you against student loan debts your spouse takes on after you're married or keep your spouse from shouldering your personal credit card debts if you decide to separate in the future.

These are a few things to think about if you aren't sure if you want to have a prenuptial agreement. This agreement is just one smart method to protect yourself and your fiance moving forward.

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