Financial Stress Is The Number One Cause of Divorce
The time and effort that couples spend working on their financial goals leading up to marriage will have a marked impact on their futures. Even married couples that have a long courtship do not usually discuss their financial duties or develop a detailed financial plan. Because solid marriages require the cooperation and commitment of both individuals, even the most well meaning spouses can find themselves in post divorce bankruptcy proceedings.
When two parties decide to make a lifetime commitment, every aspect of their lives are joined – including finances. Although most families consist of two breadwinners, there is usually one person that is primarily responsible for supporting the household. A shift in financial responsibility can the very foundation of a married couple, leading to money related issues mounting stress. The effects of bankruptcy on couples that are considering divorce can be detrimental. One spouse may blame the other for the bulk of their financial woes, which makes recovery even more difficult.
Whether you initiated the divorce or were blind-sided by your spouse, it is important to assess your current financial status before making any major decisions. Not only are divorces expense, they can also take years to be completed. As married couples tend to draw money from joint and individual bank accounts, buy property deeded in the name of only one party and spend money without the consent of another, it will take time to figure out whom is responsible for the greater portion of the marital debt.
If you have divorced due to bankruptcy and want to create bright financial future, you will need to establish clear goals. Although you may still be dealing with your ex-spouse’s debts, there are ways that you can reduce the negative effects of bankruptcy. Hiring an attorney to review your finances will give you both the confidence and the legal standing that you need to secure your assets. Divorce settlements can be modified and support agreements can be amended at virtually anytime.
There are some individuals that are able to walk away virtually unscathed after a divorce where finances are considered. On the other hand, any person that leaves a marriage with few or no debts will likely receive very little in return. A prenuptial agreement may preclude you from benefiting financially from your former spouse, however, not all pre-marital legal agreements are binding. Receiving support for your children, or splitting the mortgage note may be necessary if your circumstances have changed since first marrying.
The effects of bankruptcy can be felt both before and after a marriage has ended. While it is unrealistic to think that you will be able to get over your divorce immediately, you can make more sound financial decisions. Scheduling meetings, attending mediation and negotiating a divorce settlement can emotionally drain you if you do not formulate a definitive plan. Decide exactly what you want to do after your divorce is finalized, then consult with your lawyer. It will soon become apparent as to what is feasible and what issues you will need to compromise on.
