Three Financial Mistakes to Avoid Making During a Divorce

 Posted on January 28,2022 in Uncategorized

Many spouses considering divorce have concerns about the financial ramifications of the split. Divorce can be costly, and divorce expenses can grow even more if you make financial mistakes along the way. Knowledge is power, and thankfully, when you know what to look out for, you can minimize the amount of money you spend in the process of getting a divorce. 

Not Realizing That Marital Debt Becomes a Shared Responsibility 

Many couples carry the weight of debt together. In many cases, two partners will come to an understanding about who is responsible for what percentage of the marital debt. However, when spouses decide to get a divorce, casual agreements do not always apply in the eyes of the law. 

For instance, imagine that you and your partner verbally agreed that you are responsible for 20% of the debt and your spouse will take care of the 80% remaining. Unfortunately, this type of agreement is not enforceable by the court. If your spouse fails to hold up his or her end of the bargain, creditors may come after you for payment. Paying off debt before the divorce is finalized can help mitigate this financial stressor.  

Fighting For Ownership of the Home Without the Means to Afford the Mortgage 

When it comes time to analyze the marital assets between you and your spouse, your first instinct might be to fight for your property, particularly your house. After all, this is the place in which you live and have likely lived for years. The thought of letting go of the house you have called home can be very frightening. 

However, becoming the sole owner of a house that you cannot afford on your own can place you in a grave financial position. For instance, if you and your partner shared the cost of the mortgage or split rent each month, making the transition from paying half to paying the full amount can be impossible for some people. 

If that is the case for you, consider speaking with a financial planner. People tend to overestimate their ability to afford property when they are emotionally tied to it, but a third-party individual can shed light on the reality of the situation and help you understand what is realistic.  

Hiring an Inexperienced Attorney Without Proof of Results 

One of the most important aspects of a divorce is the lawyer you hire to represent you. Retaining an experienced family law attorney who has a history of proven results may make all the difference. 

Contact a Denton County Divorce Lawyer Today

If you are getting divorced, reach out to the Frisco, TX divorce lawyers at The Law Office of Linda Risinger by calling 972-294-6533 and scheduling your free consultation today. Our skilled legal team is committed to helping divorcing spouses make sound financial decisions that minimize the negative financial impact of divorce. 

Source: 

https://www.depts.ttu.edu/sls/forms/What-to-Expect-in-Texas-Family-Law-Court.pdf