Protecting your financial interests in gray divorce

Protecting your financial interests in gray divorce

| Dec 22, 2020 | Divorce

The older you are when your marriage ends, the higher the chances are that you have had time to amass wealth. Because the stakes are often higher when you part ways later in life, it is important that you take steps to protect your financial interests in a gray divorce. 

What specific steps might you want to take to set yourself up for financial success after you divorce? 

Establish a credit history

If you were not the breadwinner during your marriage, you may need to establish credit history if you wish to get a mortgage or loan without your former spouse. You should also make a point to close any credit cards or other accounts you own together and reopen those you need to get them in your name only. 

Figure out what to do with the mortgage or home equity

If you and your ex own a home together, determine whether one of you plans to stay there or if you plan to sell it and split the profits. Until you make a formal arrangement, you both remain responsible for the mortgage if both of your names are on it, even if one of you vacates the home. 

Identify and consider all assets and debts

Now is also the time to determine what assets you have and what debts you still owe. If you did not pay much attention to family finances, now is the time to figure out where the money is and what it goes towards so that you have the information you need to advocate for yourself. 

The divorce rate among those over 50 has risen sharply in recent years, but by taking these steps, you should be able to help plan for a more promising financial future.