Im filing for Divorce What do I do now? I said it, Im getting a
divorce. Now What?
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OKAY, I said it. Im getting a divorce. NOW WHAT? First
understand you are not alone. Hopefully you have not come to this
decision quickly and have weighed all options and possibilities. It
is very important to be able to hold your head high and say you did
everything you could to make this work. There is a long painful
road ahead of you and its going to get worse before it gets better.
But it will get better. If you have determined divorce is
unavoidable, the following steps have been put together to help you
understand what, why and when. What needs to be done, Why it needs
to be done and When you should be doing it.
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1.Find someone to talk to: Many people have family, friends or
a therapist they have been able to speak with when weighing their
options. Just understand people have their own opinions and may
have a hidden agenda when you disclose personal information. A
neutral third party trained in human psychology can be extremely
helpful to both you and your children before, during and after
divorce.
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2. Hire an attorney: You should interview multiple attorneys
and choose one that listens to you, makes you think and makes you
feel like they would work in your best interest at all cost. Also
be clear on fees and make sure you are able to afford their
representation.
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3. Know where you stand financially: You may have an idea but
you need to get the facts. You need to know what is owned and what
is owed. You will need to know this for future negotiations. Real
Estate, financial accounts and automobiles are commonly split
equitably. Other assets like pension plans, inheritances and
artwork are more negotiable. Real Estate owned Get an appraisal,
not an opinion of value. An appraiser will look for homes
comparable to yours that have sold within the past 180 days. This
value minus your mortgage balance can be used to show how much
equity you currently have. Keep in mind; if your divorce states you
are forced to sell, the best way to sell is with a Realtor. A
Realtor can also show you what other home are currently on the
market and what you would be competing with when you list. Your
Realtor will also review with you a net sheet which shows you the
costs associated with selling so you have a clear understanding of
what you can expect to end up with after the sale. Marital Debt It
really doesnt matter whose name is on the debt. Commonly this debt
is split based on who is financially able to pay the debt. The
quickest way to determine your debt is to pull your credit report.
You can get a free annual credit report by visiting www.
annualcreditreport.com
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4. Proof of income: You will need to show income for both you
and your spouse. Salary or hourly employment Pay stubs, W2s &
Tax Returns Self employment Bank and financial statements, tax
returns. It may be difficult or impossible in some cases to
determine true self employed income. Just get everything you can to
your attorney and let them do the best they can.
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5. Make an after divorce budget You need to be realistic about
what this looks like after you reduce to single income. Use your
best guess on things you may not know. This will also help you when
negotiating a settlement. 6. Establish credit in your name: Often
people are left with no personal credit rating after divorce. You
should open up credit line in your name only. Be careful not to run
up your debt. Maintain a minimal balance you can pay off
monthly.
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7. Evaluate joint financial accounts: It is very common for
spouses to deplete or diminish financial accounts after the word
divorce is mentioned. You should consult you attorney before you
act. It is possible they would advise you to protect yourself by
withdrawing half of the available funds and placing it in an
individual account. Do not spend these funds foolishly and keep
good record of needed spending. These records can be called upon
when in court. Again, consult your attorney before acting.
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8. Close all joint accounts: When possible, pay off and close
all joint accounts before separating. Closing them before divorce
proceedings could prevent an angry spouse from using the account
and running up debt you may be accountable for. If you have funds
available, you could call up creditors and negotiate a settlement
less than the balances owed. You want a letter from them showing
the account is paid and they are not going to report negatively to
the credit reporting agencies. If you cant pay off or settle joint
accounts, you should have them frozen. You will not be able to use
them but it will again prevent an angry spouse from running up debt
you may end up being accountable for. Make sure all accounts are
being paid on time. Even if it is a debt you feel may end up being
your spouses responsibility. You do not want your credit to be
impacted negatively by late payments.
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I hope this brief overview of what to do when facing divorce
has helped you in some way. Your First Home Team has assembled a
list of trusted partners to assist you in every step. Therapist,
Attorneys, Appraisers, Realtors, Mortgage, Home Inspectors, Title
Companies I hope this brief overview of what to do when facing
divorce has helped you in some way. Your First Home Team has
assembled a list of trusted partners to assist you in every step.
Therapist, Attorneys, Appraisers, Realtors, Mortgage, Home
Inspectors, Title Companies