Texas couples who are getting a divorce must deal with property division in most cases. This may include shutting down joint accounts such as credit cards and shared bank accounts. Regardless of who created the credit card debt, both people will be considered responsible for it by creditors, and this debt will need to be paid off in order to close the account.
Divorce can be complicated by a variety of details. Texas couples who are ending their marriages are focused on major points of contention like child custody and division of assets and liabilities. Things like car insurance are often overlooked, despite their importance. Generally, there are a few rules that apply to the process of separating car insurance policies. One former spouse, for example, cannot remove the other from the policy without the latter's consent.
Texas couples who are getting a divorce might be concerned about keeping their home or may want to get financing to buy a new home. This may be an emotional decision for some people, but it is important to be realistic about the financial aspects.
Ending a marriage is always a challenging process, and some say the higher the value of the assets involved, the more complex the divorce. Along with the emotional and logistical difficulties, determining the best time to file for a divorce can be tough. Certain life events can have an adverse impact on your finances if they happen concurrently with a divorce.
You might believe that because Texas prescribes to the community property method of dividing property and debts in a divorce that this automatically means that you receive half of everything in a divorce. In reality, the Texas courts focus more on dividing property in an equitable manner than in an equal one. In addition, before dividing any property, what constitutes the marital estate needs to be determined.
For Texas couples who are planning on getting married, keeping certain assets like trust funds separate is important. This is because, should the couple later get a divorce, it is likely that any other property that the couple obtains will be split.
Student debt may be a common concern among today's college graduates, especially when it weighs on the financial health of a married couple. Financial issues are some of the most serious matters contributing to a divorce, and hefty student loans could come into play as a couple decides to call it quits. Leaving the marriage, however, does not necessarily imply leaving the student loan payments behind. Because Texas is a community property state, both marital debts and marital assets are in general subject to equal division by a divorce court.
Ending a marriage can involve a lot of stress, and before it the divorce is finalized, Texas couples sometimes have to prepare for possible battles over the division of their marital assets, such as retirement and bank accounts, artwork, furnishings and automobiles. In most cases, however, the piece of marital property that is worth the most is the family home.
While splitting assets between married couples in Texas can be complicated, there is a legal framework in place to help determine how to divide assets. When an unmarried couple owns assets together, separating these assets after a breakup can be much more complex.
In a community property state, such as Texas, all marital assets are split 50/50 at the time of the divorce. While many people think they understand what this means, most don't consider some very important aspects of marital law that can affect their retirement in a potentially major way.