A Texas resident who is facing divorce may find that their financial situation is such that the use of credit cards may be necessary during the transition. Additionally, credit accounts used by both spouses during the marriage may come into play as debt and assets are distributed. It can be helpful to have a plan prior to finalization of a divorce so that one's credit standing is protected.
Joint credit accounts may be tricky, but options such as negotiating responsibility for different accounts may work well. It is important to verify that one's name is removed from an account that is not their responsibility to avoid later negative results. It is also important to consider the use of credit carefully as an individual faces the need to retain a lawyer, find a new home, and move. The spouse who has been out of the workforce for an extended period may also find that it is difficult to transition into a position that provides gainful employment. Volunteerism and minimum wage jobs may offer experience, but they may not provide enough money to meet one's needs. While child support and alimony may be included in a settlement, these payments could come late at times, making it important to plan for such possibilities.
In a high asset divorce, the financial outlook may not be as grim. However, it is still wise to consider adjusting one's standard of living to ensure that resources aren't exhausted quickly. Additionally, it may be necessary to establish one's own credit accounts to ensure a stable financial footing in the future.
Because financial issues can result in serious disputes during divorce, it may be necessary to include financial professionals on one's legal team to investigate any hidden assets or unknown credit issues. A divorce lawyer may bring in a forensic accountant to assist with such needs.