Nowadays, divorce is not only emotionally exhausting but also financially draining. Divorce is a financially challenging process, which raises concerns about what happens to debts and joint credit cards once the divorce is finalized. Many married couples open joint credit card accounts in both their names so they both have access to use the funds. It is critical to understand how joint credit cards can negatively affect your financial security after a divorce. Keep reading to learn what happens to joint credit cards when you get divorced and discover how our proficient Rockland County Divorce & Separation Attorney can help you today.
Should I cancel my joint credit card?
If you are going through a divorce, it is in your best interest to close any joint credit cards you share with your former spouse. If you do not close your joint accounts, your former spouse may attempt to spend a significant amount of money accumulating debt. It is not uncommon for bitter spouses to accumulate debt to financially burden their partner. It is important to close joint accounts to protect your credit. If your former spouse accumulates debt on a joint credit card, it will harm your credit score which can make it difficult to obtain a loan. It is also important to note that debt collectors do not care whether you are divorced. If your name is on an account, they will contact you to collect unpaid debts. Ultimately, to protect your overall financial security during a divorce, you should consider closing your joint credit cards.
How do I cancel them?
For some couples, one spouse may be named an authorized user which allows them to use the card. However, they are not the primary cardholder. If this is the case, you can simply call the credit card company and have them remove your former spouse’s authorized user status. Therefore, they will be blocked from accessing the account. If the credit card was taken out in both your and your former spouse’s names, depending on the company’s policy, you may be able to remove your former spouse from the account and retain primary usage. However, if the credit card company does not allow this, you will have to completely close the account and create a separate account in your name only.
If you are someone who is going through a divorce and you are worried about your financial security, it is in your best interest to hire a determined Rockland County divorce & separation attorney. Our firm will work tirelessly to help you protect your hard-earned assets and navigate the complex legal process. Allow our firm to represent your interests today!