Going through the divorce process can easily feel like going through a whirlwind. In addition to dealing with a variety of emotions, a person must be prepared to make a large number of financial decisions, which may have long-term implications. A few tips may help people in Illinois maintain their sanity when going through divorce.
It is important to immediately close and then monitor joint accounts during divorce. This is because a soon-to-be-ex will sometimes move money to his or her individual account from a joint account, all in an effort to make it nearly impossible for the other party to recover this money. This divorcing spouse may also decide to accrue large amounts of debt on the couple’s joint credit cards, and the other spouse will end up being responsible for this debt as well.
It is also important to track down and document all marital financial resources. This includes writing down information about assets and accounts held both individually and jointly. It helps to note the account number and the balance along with the authorized users on the account. Other items to document include assets such as retirement plans, property, homes, vehicles, insurance policies, brokerage accounts, furniture and jewelry.
Comprehending divorce laws can help people understand their rights when it comes to issues such as asset division and property distribution. If two divorcing individuals are willing to mediate their divorce, they can avoid further court intrusion. Otherwise, the divorce must be litigated in an Illinois court, where a judge will have the final say on such matters.
Source: credit.com, “10 Financial Moves to Keep You Sane During a Divorce“, Marilyn Lewis, Aug. 1, 2015