Can Filing for Divorce in Texas Affect Your Credit Score? 

Getting a divorce can be frightening or frustrating for a variety of reasons, particularly if you have children or a high net worth. You may have heard that divorcing can impact your credit or lower your credit score. Here’s what you should know about how filing a divorce in Texas might affect your credit and how to get the legal help you need when you’re in overwhelming debt. 

Your Credit Score Won’t Be Directly Affected 

Contrary to popular belief, it’s not the divorce itself that impacts your credit score. It’s the division of debt, the splitting of joint accounts, and other financial issues within the divorce that can result in changes to your credit. 

For example, you may spend so much on the divorce that you can no longer meet other financial obligations and as a result, you may end up getting behind on payments. This in turn lowers your credit score. So while the dissolution of your marriage isn’t what puts your credit score at risk, separating from your spouse has an indirect impact on your credit by primarily affecting your finances. 

You Should Remove Your Name From As Many Accounts As Possible 

If you have joint debt with your spouse, try to remove your name or pay off as many accounts as possible. This is because credit bureaus will still report late or missed payments on accounts that the court-ordered your spouse to pay. If your spouse forgets to make payments, can’t afford them, or wants to be vindictive and refuse to pay them, it will still show up on both your and your ex’s credit reports. 

Credit bureaus don’t take court orders or divorce decrees into account and a court can only take enforcement action. They cannot order credit bureaus to edit your score because your spouse neglected or refused to pay. 

How an Experienced Bankruptcy Attorney Can Assist You 

If you have significant debt and are considering getting a divorce or are already involved in one, you should contact a bankruptcy lawyer. A divorce lawyer typically can’t help you navigate the management of joint debts in the same way a bankruptcy attorney can. Don’t hesitate to reach out and contact Sims Bankruptcy Law, PLLC today for a consultation to discuss your Chapter 7 or Chapter 13 bankruptcy by calling 469-751-7467 (Dallas-Fort Worth) or 254-304-7161 (Central Texas).