Should I wait until after my divorce to do a debt consolidation?
If you’re seriously considering getting a divorce in the near future, then you know how important it is to get your financial situation in order before you file paperwork. While you’re building up your savings and looking to set up a new household, however, it’s a good idea to think about how you’re going to handle your debt.
If you’re facing a divorce with a lot of consumer debt that is solely in your name, it’s probably a good idea to get a debt consolidation loan as quickly as possible. Consolidating your debt is a good way to combine all of your existing debts into one loan that can cost you less every month than your current minimum loan payments. Over the next several months, there will be a lot of unexpected bills and upheaval. A debt consolidation loan, however, is a good way to make sure that at least one bill is always the same amount.
An even better advantage to doing debt consolidation before your divorce is that you’ll be able to use the money you save on your debt to fund your divorce expenses. Some people save hundreds of dollars a month through debt consolidation, money that can be used to pay for a lawyer or to set up a new household.
If you have a lot of shared debt with your spouse, then it’s usually a wiser decision to wait until the divorce is finalized before getting a debt consolidation loan. This is because the divorce will most likely divide the shared debt between you and your spouse. Since there is no way to accurately predict what will happen during this division, it’s generally a good idea to wait. Consolidating too soon could mean that you would get assigned more of the debt than your should.
The good thing about waiting is that you’ll also be able to include debts from your divorce in the consolidation. Rather than struggling to come up with the money to pay your lawyer, debt consolidation will allow you to make payments over time. This will allow you to start your new life with a budget that will give you money left over at the end of the month to save.