divorce & credit (by 6x6 [TN]) Apr 21, 2021 8:30 AM|
(by 6x6 [TN]) Apr 21, 2021 8:43 AM
(by Deanna [TX]) Apr 21, 2021 9:06 AM
(by plenty [MO]) Apr 21, 2021 9:16 AM
(by WMH [NC]) Apr 21, 2021 9:26 AM
(by S i d [MO]) Apr 21, 2021 11:07 AM
(by Oregon Woodsmoke [ID]) Apr 21, 2021 11:07 AM
(by WMH [NC]) Apr 21, 2021 11:16 AM
(by Moshe [CA]) Apr 21, 2021 11:49 AM
(by Nicole [PA]) Apr 21, 2021 12:06 PM
(by Landlord ofthe Flies [TX]) Apr 21, 2021 2:38 PM
(by WMH [NC]) Apr 21, 2021 3:37 PM
(by Ray-N-Pa [PA]) Apr 22, 2021 11:05 PM
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divorce & credit (by 6x6 [TN]) Apr 21, 2021 8:30 AM
I have heard mention on hear before about divorce messing up your credit score and I have had it mentioned before by an applicant on the prescreen that they have a low score because they are going through a divorce. To me, not paying your bills is what causes a low credit score or no debt. I have never been through a divorce but the ones who do should still be paying there bills.
How is it that a divorce causes a low credit score and why is that considered normal and okay? --73.120.xx.xxx
divorce & credit (by 6x6 [TN]) Apr 21, 2021 8:43 AM
Thank you for your time. --73.120.xx.xxx
divorce & credit (by Deanna [TX]) Apr 21, 2021 9:06 AM
Sometimes it's because your credit is tied to someone who either doesn't care, or actively wants to harm you, or is struggling to make it on a fraction of the income they're used to.
Like if you cosigned for a vehicle together, and the bill gets sent to your ex, because that's their daily driver--- you expect them to take care of it. Not a lot of people would go out of their way to make sure their ex is making that $450/month payment on their $25k vehicle, because you kind of assume it's in their best interests to be responsible so they can get to work. Or, finding out that your ex is $1000 behind in payments, will pay that $1000 for the sake of keeping your own credit pristine. Especially if you're now making it yourself on a fraction of what you previously did. Or if you feel betrayed by the things that led to the divorce-- most people will think, "They get what they deserve" rather than "Oh, let me pay off their car for them so they don't ruin my credit in addition to the rest of my life."
Not an excuse, but those are the sorts of things I generally run into, but I've also heard stories from divorce lawyers about people who are far more creative, deliberate, and vengeful in how they deliberately destroy their ex's financial situation-- not just personal finances, but actively sabotaging their ability to run their business. --137.118.xx.xxx
divorce & credit (by plenty [MO]) Apr 21, 2021 9:16 AM
In addition to the above, the court can award property either real or personal to one or the other, if its RE then one may have to refinance, the issue is while one is award the deed, they both maybe on the mortgage loan, you can image the rest of this nightmare. Just stuff like that, it happens all the time, since most are goin this for the first time we are native to the terms and consequences. --172.56.xx.xxx
divorce & credit (by WMH [NC]) Apr 21, 2021 9:26 AM
As much as you loved someone when you got married, that's how much you might hate them when you get divorced. People go out of their way to hurt the other person sometimes. So joint credit cards: one spouse may just go crazy blowing up the cards. Overdrawing financial accounts. Not paying the bills.
There's a host of ways people damage each other during a divorce. People lose their minds.
That's why a financial advisor (forget who, I think Ben Klein) said that the best way to ruin your financial life was to marry someone you don't like and buy them a house. --50.82.xxx.xxx
divorce & credit (by S i d [MO]) Apr 21, 2021 11:07 AM
That's why a credit score is essentially meaningless, as I've stated on here many times before. I need to see the report itself and what's on it.
Joint credit cards and other types of loans are still a joint responsibility, even after divorce/dissolution of a relationship. Failing to pay them is the same regardless of whether there is a divorce/breakup or not.
I really don't care about the REASON: I care about the FACT.
Let's say this person moves into your rental and brings along a shack up BF/GF. They split up 6 months into the lease. The next month, the rent stops. Do you care if they split up or not, or do you care if the rent gets paid or not?
The reason for non-payment is irrelevant. People either pay the bills for which the agreed to be responsible (good credit) or they don't (bad credit).
divorce & credit (by Oregon Woodsmoke [ID]) Apr 21, 2021 11:07 AM
Both parties are getting their income cut and their expenses increased.
Responsible people can get through a divorce without ruining their credit, but how many tenants are responsible people? Some of them are, many of them aren't, which is why they are tenants.
I do not forgive bad credit caused by divorce. With the exception of some medical bills, to me bad credit is all of it bad credit, no matter what excuse there is for it. --76.178.xxx.xxx
divorce & credit (by WMH [NC]) Apr 21, 2021 11:16 AM
STEIN. Ben Stein. He wrote the book "How to ruin your financial life." He a little cray-cray, but his financial ideas were sound, if I remember correctly. --50.82.xxx.xxx
divorce & credit (by Moshe [CA]) Apr 21, 2021 11:49 AM
Here in CA, we have community property: Most income and most debts are joint income and joint obligations. The court will take debts off the top before splitting up the assets and calculating amount of income available for support.
That means that stocking up on goodies on credit means that spouse pays for half. Buying a new car is the favorite.
divorce & credit (by Nicole [PA]) Apr 21, 2021 12:06 PM
...Both parties are getting their income cut and their expenses increased...
not an excuse, but that's one of the main reasons. It's just a fact of life. Two households duplicating services (two rents, two electrics bills, two auto insurance) for folks who didn't have a lot to start with puts a real strain until they get it figured out and are both situated.
I also don't care so much about a credit report conclusion (fico score). I care about who, what, when. --72.70.xxx.xx
divorce & credit (by Landlord ofthe Flies [TX]) Apr 21, 2021 2:38 PM
Another reason why their credit scores may fall during a divorce is that their available credit decreases. Now, instead of sharing a pool of credit and they both get 100% credit for it in the credit score, after the divorce, the pool is halved. Furthermore, old established joint accounts are closed and new accounts are opened. Those factors influence credit scores. --108.69.xxx.xxx
divorce & credit (by WMH [NC]) Apr 21, 2021 3:37 PM
Very true, LLOTHF. --50.82.xxx.xxx
divorce & credit (by Ray-N-Pa [PA]) Apr 22, 2021 11:05 PM
I have said - what a beautiful wedding......
ever say what a beautiful divorce? --24.154.xx.x
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