Divorce Financial Planning: 5 Essential Tips for Protecting Your Finances in & After Divorce

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How to Protect Your Finances In/After Divorce

The financial plans you make – and the steps you take – before moving forward with divorce can have significant impacts on your financial future and your life after divorce. If you are able to take some time to financially plan, here are some of the most important things to do if you are serious about protecting your finances in and after the divorce process:

  1. Get all of the financial documents together – Financial documents can detail the extent of the marital assets and debt (i.e., the marital property). Some of the documents to compile (and make copies of) include (but may not be limited to):
    • Mortgage documents
    • Income tax returns
    • Bank statements
    • Deeds and/or titles to property owed
    • Retirement account statements
    • Insurance policy documents
    • Any other documents related to loans or lines of credit shared with your partner.
  2. Open a bank account and/or lines of credit in your name only – If you only have a joint bank account with your partner, make sure that you open up another account that is in your name only. This can be important to maintaining access to your money, especially if the divorce may be a source of bitterness for your ex (and, consequently, may prompt him or her to try to drain your mutual account).Similarly, open up at least one line of credit that is in your name only. This can provide you with some extra financial support if you need it as the divorce proceeds.
  3. Close all joint lines of credit – Do this as soon as you are ready to inform your partner of the divorce and/or move forward in filing the divorce paperwork with the court. Failing to close your joint lines of credit can open you up to financial problems later if, for instance, your bitter ex decides to run up charges or max out your joint accounts (possibly as a way to get back at your and/or deprive you of financial resources).
  4. Check your credit report regularly and often – Even if you have closed your joint lines of credit, be sure to get in the habit of checking your credit report at least every few months as you move through the divorce process – and after your divorce is final. Checking your credit report can alert you to potential problems, such as the following:
    • An ex opening up fake accounts in your name (by using your personal information)
    • An ex failing to make payments on the marital debt after being order by the court to do so.
  5. Put yourself on a budget – During and after divorce, you may have to adjust to living on a single or limited income. Figuring out your monthly living expenses and putting yourself on a budget as you adjust to your new resources (and possibly limitations) can help you avoid digging yourself into massive debt during and after divorce. And that can be the key to having the financial resources you need as you start the next phase of your life after divorce.
Contact Scottsdale Divorce Attorney Karen A. Schoenau

For exceptional representation in Arizona divorce, you can rely on Scottsdale Divorce Attorney Karen Schoenau .

To meet with Attorney Karen Schoenau and find out more about how she can help you, contact our firm today by calling 480-209-1918 or by emailing us using the drop-down contact form at the top of this page.

From offices based on Scottsdale, Attorney Karen Schoenau represents clients throughout the metropolitan Scottsdale area, including in Scottsdale, Mesa, Surprise, Maricopa County, Pinal County, Gila County and throughout the state of Arizona.

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Karen is highly respected in the legal community. She is effective and thorough. Karen just keeps going regardless of the odds.
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Karen was extremely helpful setting up my petition for conciliation. She is by far the most knowledgeable attorney regarding the necessary paperwork, how to file the petition and where it has to be submitted. She listened intently when I was describing my situation and intentions. She was very responsive to my questions and request. She is trustworthy and diligent . I would recommend her to anyone having marital issues.
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Very high customer/client considerate. We found Karen when we were forced to leave another Phoenix lawyer due to his bad advice and lack of interest to help us. We were in Phoenix for six days from Michigan with nothing happening but a high wasted expense. Karen and her firm took us in and solved our issue with the courts etc. in two and a half days. Karen’s professionalism with us was very cost effective/productive. If we would have found her first, we would have saved thousands of dollars. Her interest for us was very high. She returned every call. She knew every answer to our questions. She did this for us with a death in her family. She left for a funeral and made sure we were treated with the same professionalism from her firm to finish up. I recommend Karen and her firm with very high satisfaction. Our case is custody with one parent in prison. We will return to Phoenix someday with interests for the child and his parent, if needed. Karen will be our top choice.
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Karen and Bonita are wonderful!! I know that the word "wonderful" is used a lot, but the team they make and the work they did for me can only be described as WONDERFUL!! Yes there where ups and downs in my case, but that is the system and Karen along with Bonita guided and taught me as "WE" went through it together. Karen’s easy going manner and her knowledge really helped me with the emotional part of my divorce. I used the team of Karen and Bonita both times I needed to go to court with my ex and had results that were best for my little girl. Some times I did not get what I wanted, but it was what my daughter needed. Looking back at my case, I made the right choice and would do it again in a heart beat!!
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Karen was extremely supportive during a very trying time in our lives. She helped me to put things in perspective and think positive when I was overwhelmed. She is very knowledgeable about the laws pertaining to grandparents rights and the rights of the parents and knew how to provide the appropriate laws pertaining to the situation we were in. I am so grateful for her expertise and guidance. She proved to be very aggressive when she needed to be but was also supportive to my and my children. I would recommend her to anyone in a similar situation.
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