Most people these days, in the lead up to their wedding day, are under no illusion that it’s a very real possibility that they maybe one of the divorce stats in an up coming census survey. Usually it’s not for want of trying but whilst under a heavy load of responsibility to provide the basic necessities for existence e.g. food shelter clothing, add to it transport, school expenses and the like……it can all take its toll.

debt divorce

Debt stress can take its toll on your relationships.

Faydra Koenig is a mental health professional who works with men and women to help them avoid the pitfalls of divorce. Faydra states that one of the main reasons people get divorced is finances. When debt begins to place stress on the relationship, couples begin to fight and place blame. Not being able to pay bills or have money to relax is just as difficult as being in debt. Many couples make financial mistakes that could lead them down the path of financial ruin.

When the stress get too much.

When that stress becomes cumulative and you’re heading down the divorce path, things usually look pretty bleak. Even though debt is considered during parting agreements and each person on a joint loan is bound by law to be equally responsible for that debt, it usually falls on to one person to take the financial responsibility. However one person may not be able to make good on those payments that were previously serviced by two incomes. That stress loaded onto one person can reach life threatening levels and finding options at that point isn’t usually the best starting point.

But where do you go for financial advice?

What you don’t want is just more money spent without getting the best advice for your circumstances. There are options though. Some of them free, some of them are fee based but if you start at the free ones and progress to the fee paying ones when you have more information under your belt, at least you’ll more likely be satisfied that you’ve paid good money for good advice.

Money Smart is a government site set up to provide connections and information for free financial counselling services, their managing debts page has links to these services and free Legal Advice Services, both may be of assistance during this time.   Or share your experiences and who you visited for good and not so good advice on our online Lets Talk About Debt community.

A Debt Agreement may help…

Here at Debt Cutter, we assist people with finding debt relief through a debt agreement.  This option has been a saviour to many after divorce or relationship breakdown, as it provides you with breathing space by freezing interest on unsecured loans and reducing unsecured loan repayments.  It enables you to avoid bankruptcy allowing you to maintain control of your finances (no taking further payments if you get pay rises), keep assets like your house and car and basically as one of our client’s Chantelle put it, “a debt agreement meant I didn’t have to start from scratch.”  Which can be a huge deal after divorce.  If you need this type of solution gives us a call or complete our form for a free phone consultation to talk you through the ins and outs.

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