A good credit rating can open many doors – loan approvals, lower interest rates, increased spending limits, security deposit waivers, better insurance rates, to name a few. That’s why, once you build a good credit score, it’s important to keep close tabs on it and avoid actions that can have a negative impact. While divorce itself doesn’t directly affect your credit score, it does change your financial situation which, in turn, can have negative implications.
After divorce, you could end up carrying debt that previously you shared with another person, or find yourself responsible for debts incurred by your ex. Situations like these could work to lower your credit rating. If you find your credit score slipping, don’t despair. There are steps to take to correct that. Read this CNBC article on rebuilding your credit score after divorce to learn how.