Credit cards are very convenient, especially during turbulent financial times, such as divorce. However, you may find yourself wondering if you should cancel those cards as your marriage ends.
You don’t have to do this, but there are a few good reasons to cancel those accounts. You need to protect your own financial assets and set yourself up for the future. If you have a joint credit card account with your spouse, and your marriage is ending, it may be time to put an end to that account as well.
You could be liable for their spending
First and foremost, you can be liable for your spouse’s spending on that credit card if you are joint account holders. Essentially, you have both agreed to pay off whatever is on that card, no matter who charges it. This makes sense during a marriage, but it does not make sense during or after a divorce. You need to remove that legal obligation so that you don’t find yourself on the hook for charges you never expected.
You may be able to remove your spouse
If you are joint account holders, you probably cannot just remove your spouse from the account. However, if it is your account and your spouse is an authorized user, you may be able to revoke that status. This way, you can keep the card you’ve been using and any rewards you’ve earned, but you don’t have to worry about your ex spending on your card.
This is one of just many financial considerations during a divorce, so take the time to carefully look through all of the legal steps you’ll need to take.