Dividing assets and debts is a major part of getting divorced and in current times, couples tend to have more debts than assets. Whether a divorce decree says that one spouse is required to pay off a joint credit card or that both spouses are to split the balance, the credit card company is not required to change the terms of the account. In the vast majority of cases, they don’t. This means that couples will have to take steps to ensure the debts are paid if they want to preserve their own credit. A Divorce Attorney in Georgetown TX may give a client advice about how to handle their credit card accounts before they file for divorce.
One of the first things to do when you are considering divorce is to get a copy of your credit report from all three credit reporting agencies. Find out which accounts you own jointly with your spouse and which ones are owned by one of you with the other as an authorized user. Your Divorce Attorney in Georgetown TX may advise you to remove your spouse as an authorized user on any account that you own by yourself. While you cannot remove your spouse from joint credit cards, you may be able to put a freeze on the cards so no new charges can be made until they are paid off and can be closed. This will prevent your spouse from making purchases that you may later be responsible for paying. If you discover any old accounts that don’t have a balance, close them before you file for divorce.
If you have good credit, your Divorce Attorney in Georgetown TX may advise you to move your portion of the balance to a credit card you own separately. By transferring the balance, you will have control over your own credit and your attorney may negotiate for your spouse to pay their share of the credit card balance out of the property settlement. In cases where there are no assets to divide, your attorney may be able to get a monthly support payment added to the divorce decree so your spouse can pay the credit card debt directly to you. Contact Harris and Schroeder PLLC for more information about dividing debts in divorce.
