Don’t Let Divorce Separate You From Good Credit Scores

February 19, 2012

settling accounts after divorceGetting divorced is a stressful experience, even for couples that split amicably. Many aspects of your life may change, but protecting your financial well-being should be a top priority. After all, starting a new chapter in your life is difficult enough without sacrificing your good credit scores.

The credit experts at FreeScore explain how credit scores are affected by breakups in “Don’t Let Divorce Ruin Your Credit Scores.”

The blog posts cites some helpful information from a recent MSN Money article for people who want to keep their credit scores intact.

  • Create a post-divorce budget – This tip may sound simple enough, but it’s one that people often forget. After years of living on a set budget, switching to a reduced amount can be quite unsettling. When planning your new budget, housing costs should take top consideration. After that, take stock of your other expenses to avoid overspending.
  • Take stock of your debts and credit lines – The longer the relationship, the more accounts you probably shared with your spouse. Make a note of these accounts so you can get a clearer picture of your financial responsibilities. If you’re having difficulty remembering every account under your name, pull your credit report for a full list.
  • Untangle joint accounts – Once you have a list of your accounts, it’s time to sort them out. Removing your spouse’s name from any shared accounts can help you avoid any unfortunate credit mishaps. Even the most financially responsible person may miss a credit card payment at one time or another. And since it only takes one incident to lower your credit scores, it’s better to be safe than sorry!

Once the divorce is final, be sure to review your credit information just in case any accounts were missed.

To see all three of your credit scores and reports from the major credit bureaus, sign up for FreeScore. When you use the Power of 3, you’ll also receive 24/7 credit monitoring and automatic alerts that keep you informed of changes to your credit profile. Don’t let your credit scores suffer because of divorce. Keep an eye on your credit with help from FreeScore.

Categories: Economy

About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

Leave a Comment