How Getting A Fort Lauderdale Divorce Impacts Your Credit
In today’s world, you need a good credit score for far more than getting a credit card or taking out a loan. It impacts your ability to be approved for a home or apartment, purchase a vehicle, obtain an education, or even receive certain types of medical care.
It takes years to build a good credit rating. Unfortunately, getting a divorce in Fort Lauderdale can set you back significantly. Our Fort Lauderdale divorce lawyer explains more about the impacts and how to rebuild your credit score in the aftermath.
The Impact A Fort Lauderdale Divorce Can Have On Your Credit Rating
Your credit score impacts almost every area of your life and can hold you back from having the things you want and need. It details your prior credit history, any current outstanding loans, and indicates the level of risk to lenders.
Experian is one of the three credit rating services and advises that credit scores range from 300 to 850. A ‘good’ credit score is generally considered anything over 700. People spend years taking action to protect their credit ratings. Unfortunately, this hard work can quickly become undone through the process of getting a divorce.
A divorce does not directly affect your credit rating. However, circumstances surrounding the situation can make it harder to monitor and pay off bills. These include:
- Making the adjustment to living on one income;
- Paying additional amounts for housing, childcare, and other expenses;
- Being responsible for debts you are unaware of or that your spouse previously paid;
- Having a spouse run up large amounts of debt as a way of ‘getting back’ at you for the divorce.
Rebuilding Your Credit After A Fort Lauderdale Divorce
No doubt getting a divorce in Fort Lauderdale can wreak havoc with your credit rating, impacting you for years afterward. To protect yourself and your financial security, our Fort Lauderdale divorce lawyer recommends taking the following steps:
- Get a copy of your credit report, which will list all open accounts you and your spouse have;
- Close all joint accounts as soon as possible;
- Pay off any loans or outstanding balances you can prior to a separation or divorce proceedings;
- Continue to monitor your credit usage, being alert for fraudulent activity;
- Open one or two small lines of credit in your name alone to establish your individual credit.
Under the Florida Statutes, anything accumulated over the course of your marriage must be divided between you and your spouse in a divorce. This includes mortgages, car loans, small business loans, and other types of debts. Consider whether you might be entitled to spousal support or other payments as well, which can help in reestablishing credit post-divorce.
Request A Consultation With Our Fort Lauderdale Divorce Lawyer
Getting a divorce in Fort Lauderdale can wreak havoc with your credit rating. To protect your rights, get trusted legal guidance from Fort Lauderdale divorce lawyer Vanessa L. Prieto. Call or contact us online and request a consultation today.
Sources:
experian.com/blogs/ask-experian/credit-education/score-basics/what-is-a-good-credit-score/
leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-0099/0061/Sections/0061.052.html
