Finance-related conflicts are one of the top reasons why American couples divorce. For the most part, all financial actions an individual takes during his or her marriage are actions made on behalf of the couple. This means that if one party accrues debt, the other can be liable for it.
If you know your marriage is headed for divorce, there are a few things you can do before you actually file your divorce paperwork to make the divorce process less stressful. One of these is separating your finances from your spouse’s. Although you might not be able to completely separate your finances without the court’s aid, you can certainly take a few steps to start the process. If you are married to an individual who is rapidly accruing debt or making poor decisions with your marital funds, make it a priority to separate yourself financially from him or her as soon as you can.
Separating your finances before you file for divorce should never be done in an effort to hide assets from your spouse or hoard them for yourself. Doing so most likely will backfire on you. Be honest and transparent with your spouse about all your financial decisions and explain why you want to separate them ahead of the divorce.
Work with a Financial Advisor
In Florida, a divorcing couple’s assets are divided equitably. This means that both parties receive an appropriate share of marital property according to their contributions to the marriage and their individual needs after the divorce. To get a clear picture of your marital estate, work with a financial advisor.
Using the information from your financial advisor and guidance from a divorce lawyer, you can begin the process of separating your finances. Your spouse and his or her lawyer also need to be part of this arrangement.
Close Joint Accounts and Transfer Balances to Separate Credit Cards
One of the easiest ways to make the asset division process easier is to close your joint checking, savings, and credit card accounts. Divide the money within checking and savings accounts between yourselves and transfer it to new, separate accounts. For your credit card debt, work out a way to pay down as much of it as possible. If you still carry a balance, transfer it to two new, separate cards.
Transfer Titles to your Property
If you have assets that have both your names on the title, transfer the titles so they become separate assets. Generally, couples do this with their vehicles. If you know you want to retain the marital home, you can also do this with the house in conjunction with a refinance.
Refinancing to Separate your Assets
Talk to your lawyer about your options for refinancing large assets like your house. This can be part of buying out your spouse’s interest in the property. Your divorce does not have to be final for you to refinance the home in your name only.
Work with an Experienced Winter Park Divorce Lawyer
Contact The Law Office of Aubrey Harry Ducker, Jr., P.L.C. today to schedule your initial consultation with an experienced Winter Park divorce lawyer. During your consultation, we can discuss separating your finances while your divorce is pending and strategies for handling your property division.
Resource:
marriage.com/advice/divorce/10-most-common-reasons-for-divorce/