The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Information on this website may not be current. This website may contain links to other third-party websites. Such links are only for the convenience of the reader, user or browser; we do not recommend or endorse the contents of any third-party sites. Readers of this website should contact their attorney, accountant or credit counselor to obtain advice with respect to their particular situation. No reader, user, or browser of this site should act or not act on the basis of information on this site. Always seek personal legal, financial or credit advice for your relevant jurisdiction. Only your individual attorney or advisor can provide assurances that the information contained herein – and your interpretation of it – is applicable or appropriate to your particular situation. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, contributors, contributing firms, or their respective employers.
Credit.com receives compensation for the financial products and services advertised on this site if our users apply for and sign up for any of them. Compensation is not a factor in the substantive evaluation of any product.
With most marriages, it is likely that you have merged most, if not all, of your finances and have joint credit. With credit, it is important to understand that you are contractually obligated to make the payments for any loan or line of credit you have—whether you’re the sole account-holder, or if you share it with your spouse.
[Article: A Subprime Pioneer’s Notes on the Financial Crisis She Predicted]
A divorce dissolves the marriage, but does not legally dissolve your shared credit obligations. I frequently get emails from people who are confused as they are getting calls from collectors about late payments on credit obligations that they “agreed” would be the responsibility of the ex-spouse. Or their spouse has substantially run up balances on credit cards before the divorce is finalized, and they are shocked to realize they are responsible for that debt.
You need to take proper actions and sever all credit ties with your ex-spouse, in fact you should start the process as soon as you feel separation is likely.
While the public record of a divorce is not considered by credit scores or by lenders when evaluating applications for credit, the outcome can have ramifications on your credit. Taking these steps if you are considering divorce (or have divorced) can help reduce potentially harmful effects on your credit rating.
[Featured tool: Get your free Credit Report Card from Credit.com]
Image: Bill Ohl, via Flickr.com
March 7, 2023
Credit Score
January 4, 2021
Credit Score
September 29, 2020
Credit Score