Seven Common Mistakes in Divorce
Avoid these Common Mistakes
Being Unprepared: Contact an attorney and develop a framework for the process. Prioritize your options. Chances are, if you were caught unawares with divorce, your spouse has had weeks to months of advance preparation.
Poor Communication: Not disclosing all of the facts and details of your situation often leads to delayed resolution and appropriate actions on your behalf.
Not Knowing all Assets: Bank accounts are easy to track because the balance is clearly stated; but what about mutual funds, life insurance policies, real estate, furnishings, jewelry or hidden accounts and assets? Obtain an inventory sheet from your attorney. Completing this is often a key first step.
Asking for the House: What if you can't make the mortgage payments, insurance payments, utilities and upkeep? Is the market favorable for you to sell it quickly? Your attorney or CPA can help you determine if keeping the house is favorable.
Income Taxes: Did you file your own taxes? Do you know if you owe Uncle Sam back taxes? Your tax attorney or CPA can clarify these issues before you sign on the dotted line.
Overlooking Debt and Credit Ratings: Nothing is worse than starting out a new life with bad credit. Several steps can be taken during the divorce process to minimize the chances of this occurring.
Insurance Policy Lapses: Will you and your children have health insurance after the divorce? Who will pay the premiums to maintain your life insurance and/or disability insurance policies?
By addressing these and many other considerations, your attorney can negotiate the best settlement possible.