Divorce Options, Divorce Solutions

Financial mistakes to avoid during a divorce

On Behalf of | Sep 26, 2022 | Divorce

Divorce is always an emotional situation for New Jersey couples, but that doesn’t mean you should neglect important details. Too many people make certain financial mistakes that end up costing them. .

Keeping the marital home

You might be tempted to keep the marital home, but it’s a bad idea if it’s not a solid financial decision. If the mortgage isn’t paid off and you can’t afford to pay it, keeping the home could be a big mistake. Always know your financial situation before making a rash decision you might not be able to afford.

Not considering alternative means

You can save a lot of money if you avoid going the traditional divorce route in court. Not considering alternatives such as divorce mediation or collaborative divorce is a costly mistake that could also affect your settlement. When you use alternative means, you and your spouse work together to reach a settlement that works for both of you.

Not separating your finances

If your divorce is contentious, one of the biggest mistakes you could make is to not separate your finances. You should cancel your joint credit card accounts just in case your spouse might try to get revenge by racking up a huge debt and leaving you to foot the bill. Opening your own account and taking half the money out of your joint bank accounts and opening your own in your name is a good way to protect yourself.

Not considering hidden assets

Some people going through a divorce hide assets from their spouse. Not considering this possibility is a common financial mistake that can result in a smaller settlement than what you’re due.

Avoid these mistakes during your divorce to prevent coming up short financially.

Archives

Categories