How to rebuild your financial health after a divorce

A large concern that people have while they are going through a divorce is their credit score. Borrowing money and then repaying that money on time is crucial to maintaining a good credit score and therefore being credit worthy. If you have recently gone through a divorce then you may have seen your financial life be thrown into a tizzy with attorney’s fees, court costs, spousal support and child support payments all possibly being owed by you.

This isn’t even to mention that your home may have been sold and your retirement accounts split evenly between you and your ex spouse. There is no way to put it any other way- divorce can badly damage your financial health.

The attorneys with the Law Office of Bryan Fagan would like to let you know that it is possible for you to rebuild your credit and your financial life as a whole after your divorce has concluded. The steps are not easy but the reward if you are financially dedicated are certainly worth the effort.

Assess where you stand after your divorce is done and over with

Once you and your spouse have concluded your divorce case and your divorce attorney has been paid in full, I would advise you to take a step back and take some time for yourself. I don’t mean take some time for yourself in Hawaii or Europe- unless you have the cash to do that, of course. For most of us, dedicating some time to ourselves for reflection, prayer, meditation, etc. is more than enough for us to begin to feel like we can move forward with our new lives.

Once you have given yourself a moment or two to breathe and settle your nerves you should follow a tactic from your divorce case and begin to inventory your assets and debts so that you know exactly where you are in terms of your finances.

What are you earning at work as far as an income is concerned? Do you have debts? If so, to whom is money owed and how much? Were you awarded any assets or property in the divorce? If you want to be really fancy you can use a spreadsheet program on your computer or you can simply write all these items out on a piece of notebook paper.

Each item should have relevant contact information (for the bank, financial institution, etc.) and other data that is relevant for you. This way you will have a source to be able to go back to in the event that you need to check on any information in the future or if any other person or business needs information from you.

I can’t tell you how many times I have been filling out paperwork and a question asks me for a routing number, address or some other piece of information that I don’t know off the top of my head that requires I waste a few minutes of my time looking it up. If you can get this information ahead of time and write it down you will save yourself the trouble later on.

Start to work on balancing your lifestyle between income and spending

Your income needs to be greater than your expenditures. This is not high level financial theory, obviously. It’s the sort of simple truth that your grandmother would tell you over a cup of coffee.

During your divorce you may have strayed from this slice of wisdom either due to necessity or a feeling of hopelessness. Sometimes when we feel heartbroken or stressed or at wit’s end we justify bad decisions when it comes to spending money. Something like, “I know I can’t afford this car right now, but I DESERVE it after all I’ve put up with in this divorce!”

It goes without saying that the good feeling you get after a big purchase never really lasts all that long. In fact, your income may have changed somewhat during the divorce due to child support or other monies being deducted. This means that not only did you lose your spouse’s income but your own may have gone down considerably after a divorce.

The solution here is to assess what your monthly bills are and what your monthly income is. Take into consideration that you need a place to sleep, you need to pay your child support and that you need the lights on and food to eat. Everything after that becomes optional until your income adjusts or you can begin to earn more money.

Review your financial institution accounts to ensure that everything is set up correctly

If you and your spouse shared a bank account you will need to ensure that their name is removed off of the account and that their access is revoked. You can refer to your Final Decree of Divorce for instructions on how to handle your accounts including who is listed as a beneficiary on them in the event that you pass away. You definitely do not want something to happen to you only to have your ex spouse listed as a beneficiary instead of the person you would prefer receive the proceeds of an account after your having passed away.

Basic things like usernames, passwords and PIN numbers need to be changed as soon as you can after a divorce. I’m not telling you that your ex spouse will attempt to access your accounts without permission, but I am saying that people do really dumb things in conjunction with divorce and it is always better to be safe than sorry.

Questions about how to rebuild your financial life after divorce? Contact the Law Office of Bryan Fagan

I wish that I could tell you that life immediately returns to normal after a divorce but, unfortunately, I cannot do that. What I can do is help provide you with some tips and knowledge that can increase the pace with which your life does get back to normal.

If you have any questions about this subject please do not hesitate to contact the Law Office of Bryan Fagan today. Our licensed family law attorneys are available six days per week to speak with you in a free of charge consultation.

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Law Office of Bryan Fagan | Spring Divorce Lawyer

The Law Office of Bryan Fagan routinely handles matters that affect children and families. If you have questions regarding divorce, it's important to speak with ar Spring, TX Divorce Lawyer right away to protect your rights.

A divorce lawyer in Spring TX is skilled at listening to your goals during this trying process and developing a strategy to meet those goals. Contact Law Office of Bryan Fagan by calling (281) 810-9760 or submit your contact information in our online form. The Law Office of Bryan Fagan handles Divorce cases in Spring, Texas, Cypress, Spring, Klein, Humble, Kingwood, Tomball, The Woodlands, the FM 1960 area, or surrounding areas, including Harris County, Montgomery County, Liberty County, Chambers County, Galveston County, Brazoria County, Fort Bend County and Waller County.

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