- Family Law
- Dispute Resolution
Financial Empowerment and Mindfulness (Credit Cards and Credit Scores)
Maintain a complete and current inventory of your family credit cards and key credit metrics (e.g. limits, rates, minimum payments, due dates, etc.). Good Credit empowers couples to efficiently tackle a broad range of challenging and stressful family matters including: emergency travel, an unexpected layoff or seasonal slowdown in self-employment, an accident, a death in the family, divorce proceeding or separation, teens and college age kids with credit cards.
DIVORCE RELATED TIP: At the beginning of a divorce action and during its pendency, understanding the mechanics of your existing credit accounts is key to protecting both your emergency funds, your long-term credit score, and your financial health. It is critical to know who to call, who can access the accounts, and who is financial responsible for each account.
[The advanced check list illustrates the level of detail that begins to be explored when prepping in a divorce proceeding]
Inventory and Key Metrics
How many credit cards are issued to you, your spouse, and your children?
Create an inventory of all cards (e.g. Issuer, Number, Code, Expiration)?
List the primary account holders?
List the authorized users on the accounts?
Know the card limits?
Track the balances?
Track the applicable interest rates?
Do you have small store credit cards, such as J. Crew or Saks?
Review / Process
Do you review the monthly credit card statements?
Who pays the credit card bills?
Do you pay the minimum due or another amount?
Who decides how much will be paid each month?
The Big Picture
Research and understand why a credit score is important and what kind transactions and behaviors impact your score?
How does your outstanding credit card debt impact your credit score?
How do late payments impact your score?
How does having available/open credit impact your credit score?
What is the difference between a hard and soft inquiry into your credit score?