Is There Credit After Divorce

Is There Credit After Divorce?

Question

I am thinking of divorce, and I don’t know what to do about my credit cards. Will I be able to get credit after I divorce, or will I have to start over?

Answer If you are considering divorce, it is important to get your credit facilities firmly in place as soon as you can.

Make sure that your bank cards and department store cards are in your own name, not just as an authorized user on your spouse’s card. That way, your spouse will not be able to cancel your cards and cut off your credit without your permission.

If possible, you should obtain cards with check-writing privileges, so that you will have a source for emergency funds if your cash reserves run low or are frozen by restraining orders during the divorce.

Women who are in the process of divorcing and receive spouses support or child support from their former husbands sometimes have tremendous problems getting credit.

The credit institution is required to take those support payments into account only if you have received them regularly in the past and it is likely that you will continue receiving them in the future. But if you are in the process of divorcing, your support payments have probably been set under “temporary” orders, which by their very nature are subject to change.

Credit institutions may therefore deem those payments unreliable and may choose not to consider them in deciding to grant your credit.

While you are in the process of divorcing, your debt obligations may include amounts that your spouse has agreed to pay, such as the house payment if he is still living in the house, or a credit card that he uses exclusively.

Even though the two of you have agreed that he will make those payments, the credit institution will consider those obligations to be yours as well if you signed the loan application papers. That can keep you from getting the credit you need.

For example, you may find that your are unfairly denied a car loan when the loan payments would fit easily within your budget.

Comments

  1. Victoria Tate says:

    I am 54, a housewife,who let my husband control everything, he started acting different, he was having an affair with a younger woman, the teller where my disabled, terminal father and I (I took care of him he had dementia),had an acct.

    Money couldnt be accounted for? I had the feeling he was waiting for our twins to turn 18 (this Aug.) this was last year in June.
    We began argueing jabout money, his, tone and how he critasized me, put me down, insulted me in the guisse of “Just Joking”, all in his quite voice. He knew just what buttons to push to get a reaction from me. Unfortunately, I was not quiet. I was the one who yells. Mostly screaming, “Leave Me Alone!”

    Well when I discovered his mistresses ID, I threatened him with a knife ” If ever I caught her in my bed, I’d cut of his penis! that and throwing a vase at a wall got me thrown out of my home, put in a mental hospital for 48 hours, and instead of admitting to affair to or kids he says I must be on Drugs!

    Court orders supervised visitation (I couldnt even see kids till the court date)Drug testing, I had no money he took my name off everything had all my things, my home, kids and dog and I was a basket case. I couldn’t stop crying. He served me with Divorce papers on Dec. 22nd 1 monthto the day, of our 19th wedding anniversary. Meanwhile I prove Im not crazy not on drugs, go through a traumatizing mediation for kids. Gain joint custody, all while taking care of my dying father, who passed two days after our last court appearance, nin Sept.. Which ended with the judge setting a trial date in March. I have not got an Atty. (no Money ) (no Job) He has an Atty. (judge seems to favor the Atty)

    My husband had been taking money fort awhile He cant acct. for and I dont know where it is? Aprox. 60,000. or more. He doest have to split with me. He sold off several motorcycles made our suburban not run and hid tools guns etc… he has my wedding rings tried to give me a ring that wasnt it, saying” I think I know what I bought ”

    He is cruel, devious and apparently had planned this and I feel like a naive fool who was played like a stratavarios(?).

    I haven’t reacted swince it is hard sometimes as he is continuously doing hus best to get me to react.

    He forged my name on tax returns, gave some of belongings 10 mothes later, broke, destroyed or vandalized. His girlfriends, her relatives and friends constantly harrass me. he antagonizes me. all to no prevail.

    He brings home almost 10,000. a month after taxes he was paying me 1,300.00 a month (Im going further and further in debt.) Court is next month, so this month he gave me 2,000.00 (still cant get caught up )
    We had over 600,000.00 in assets at one time, now we have 444,000.00 left The house is not worth the money we owe ( he had me quit claim the house to him then he took out loan without my knowledge or consent. like he did when the house went into forclousure (cause he put funds aside, that I thought were going to pay the mortgage, he was lying, so he could claim hardship when we were losing our home, in order not to pay penaltys from our retirement savings money he doesnt now have to split with me.

    I had good credit he screwed up my credit by having me turn over my credit cards to him (cause he said we were in debt so he hired a financial person to help, his were paid off mine, accumalated charges. He said ignore letters and calls it would take a while to stop. any thing in his name he paid promptly if it had both our names it would go to credit reporting,

    I want half assets plus arrears and/or damages and/or compensation for property lost, ruined, kept or sold by him’ reasonable compensation for loss of use, or for having to replace items He had of mine.

    3,100.00 according to court computor calculations for spousal and child support. He assume all debt. or compensate me to be able to pay the bills he said he had paid. 500.00 more for med. benifits a mo.

    He gets house,and it’s debt., the surburban and the guns and tools; Nothing else, except property that was his.

    Is this fair?

  2. Victoria Tate says:

    I also want my share of assets in a lump sum payment court ordered so i dont have to pay penalty.

    If I have to pay taxes on it and i reinvest say in a home or business will that help offset thte 40% ?

    Do I claim the money he gives me as income (my only source? I have had one kid 51% of time other about 49% so do i claim one child as a dependent? how does that work? plus: when we separated (ha HA) he recieved a bonus he didnt tell me our the court about so i dont know its amount ? He also gets a bonus in gas comps? he doesn’t tell the courts about.? what do i do I have one month ,money to hire anybody is not an option. what do I do?

    • Assets you receive in a divorce are not taxable to you. If you receive alimony, that is taxable to you. Child support is not taxable, nor are voluntary payments that aren’t paid pursuant to a court order or written agreement.

Speak Your Mind

*