Credit Ratings

Although credit ratings do not change because of a divorce, if you are not careful, what you don’t do during the divorce can negatively affect your credit.

Anytime both names are on a contract you and your spouse together are responsible for those debts. It’s imperative that you take steps to separate your finances. One way to accomplish this is to refinance and take one name off of the loan. This works well for responsibilities such as car loans.
You and your ex need to decide who will pay each debt, and take action to get the other’s name off of that bill. If your name is still on a liability and your ex doesn’t pay it, your credit will suffer. These steps are tricky and can be complicated. You should consult an experienced family law attorney to help you with divorce finance. Divorce is hard enough… don’t make life post-divorce even harder by ruining your credit.