Liquidating assets prior to divorce
When your former spouse misses a payment, both credit reports suffer the blow.
The same is true if you miss a payment on an asset you and your former spouse shared.
Doing so prevents either of you from making additional purchases while you work together to pay off the debt.
Divorce takes not only a heavy emotional toll on the spouses involved, but a significant financial one as well.
Unfortunately, a divorce can also be a financially devastating experience for those who do not properly liquidate shared assets and pay off joint debts.
Although separating all of your joint accounts may seem like more trouble than its worth – especially in a complicated divorce – doing so helps you preserve your credit rating and ensure that the divorce doesn't destroy your financial security.
You can liquidate accounts connected to an asset, such as mortgage or auto loan, by selling the asset and using the proceeds to pay off the loan.
For many, a divorce is an emotionally devastating experience.Credit cards are one example of joint accounts that are solely a liability.It's crucial that a divorcing couple immediately close joint credit card accounts.Regardless of the reason behind any attempt to hide assets, doing so is considered unethical and illegal.Some of the most common ways that spouses attempt to hide assets include, but are not limited to: When a spouse is hiding assets or liquidates assets without the other spouse’s consent, it can have enormous impact on the divorce proceedings. 3d 668 (2011) — On November 23, 2011, the Supreme Court of Pennsylvania decided this case involving a man who sustained a serious injury in an accident at a raceway in Leesport in 1999.