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Minimizing the financial damage often caused by divorce

On Behalf of | Oct 20, 2023 | Divorce |

The dissolution of a Florida marriage is an event that most people would agree is an emotional roller coaster. It can also be a significant financial challenge. Here are some recommendations and key strategies that could help to minimize the financial impacts of a divorce. 

Financial clarity 

When divorce becomes evident, it is best to take inventory of finances to get a clear picture of financial health. Request and gather documents on current investments, bank accounts and retirement accounts. Don’t forget to include other assets like benefits from employers, stocks or tax refunds. 

Separate finances 

Before divorcing, one of the most important things to do is to separate finances and bank accounts from the soon-to-be ex-spouse. It is not uncommon for a divorcing spouse to rack up debt on joint credit cards or bank accounts. Credit scores could be damaged amid all the conflict and confusion over who is responsible for certain accounts. It is best to separate finances and close any joint accounts where possible. 

Keep an eye on credit reports 

Monitoring credit reports can prove invaluable. Credit reports will allow an individual to know what credit accounts are open in his or her name and whether the accounts are joint or separate. Credit reports may serve as guidance when discussing how existing balances will be handled and whether to close accounts. 

Where to get help 

In many instances, spouses can work together and reach agreements on how to settle their divorce and keep matters out of court. However, conflict is nearly inevitable in divorce. Anyone in Florida who has questions about divorce could get help by speaking with an experienced lawyer. A knowledgeable family law attorney can examine the situation and guide a client through the divorce process.