Getting divorced is a stressful time, and it is also a very sad time as well. However, as I know first hand, divorce can be very expensive, and it can affect your personal finances in a way which you might not have even thought possible. For example if you own a business together, how will the assets and cash be split? The same goes for the house and the cars you own? And how will your credit rating look after you get divorced?
When I was in the process of getting divorced I didn’t realise how many financial implications it would have on my life, for example I didn’t realise that it would cost so much money to get divorced. I naively thought it would be quick, cheap and pain free, especially as there were no children involved, but boy was I wrong. There was the division of assets and even the bank accounts that needed sorting out before a divorce was even spoken about.
I believe the process of divorce is very difficult and hard to go through at any stage of your life, and I also believe that the financial side of your divorce is the last thing you have on your mind, however it shouldn’t be. I have learnt the hard way that you need to take the blinkers off and have your eyes wide open when it comes to splitting up the finances of your marriage, as if you are not aware of what is happening, what the implications are on your future and how it will affect your finances, you are leaving yourself wide open for mistakes to happen.
Most importantly during my divorce I learnt that when it comes to sorting out the finances from my marriage there is no quick fix. Everything went through court, and there was lots of paperwork to be filled out, so remember to be prepared for a long and drawn out divorce if there are finances and financial commitments, such as houses involved.
You also need to think about and know how your divorce may affect your lifestyle and your future. For example when I got divorced I noticed how my retirement and lifestyle plans changed. For example, my plans changed dramatically, as I had only my income coming in, I noticed it was not going far enough. Aside from this I noticed that my savings were lower, and that I couldn’t get such a large mortgage as I could when I was married. Just small things that mount up are what I surprisingly noticed around and after the finalisation of my divorce.
I think its wise that anyone going through the process of divorce should know the costs involved both of getting divorced, and of sorting out everything you own or have owned during the marriage as to me this is what cost the most money to sort out.
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