Divorce and debt

You hear about it all the time; in celebrity tabloids, from your friends, or even from your own family members. Divorce is a common occurrence, and money is typically one of the main cause of it.

The leading cause to divorce is money. Financial difficulty can bare huge stress on any relationship or family. Once divorced and on one’s own, everyday expenses can become scary and debts can cause huge stress.  Going through joint debts and expenses are extremely important to look into to prevent further financial woes.

The process of going through divorce is already an expensive process with legal fees that could add up. Not only is there an upfront cost that you must pay for, there are also other factors to consider depending on your situation. For example, if you have children you must determine who gets custody and who pays child support.

One of the things you will have to do with your former spouse is to divide up your joint debt. There are many options as to how to go about this depending on your situation. For example, instead of splitting each debt in half, each person can take ownership for equal amounts of debt instead of remaining on a joint debt account. This could reduce potential hassle in the future of splitting assets and liabilities. Be cautious if you enter into any agreement regarding repayment of debts.

It is also important to determine what your monthly income and expenses are right out of the gate. Your income and expenses can change dramatically which will cause you to use other alternatives to make money or stretching your income. A good habit to practice is to make a list of your expenses each month to have the best idea of what is happening specifically in your life. Income and expense spreadsheets are found on our websites to start you on the right path.

If you would like to speak with one of Exelby & Partner’s Ltd. financial professionals about divorce and debt, contact one of our locations.

Exelby & Partners Ltd. has offices in Red Deer and Grande Prairie to serve rural Alberta clients to answer any financial questions you may have. If you are looking for a second opinion for your financial concerns, contact us and we will be happy to assist. We also offer free financial consultations throughout our offices in Alberta for those who need further assistance with credit and debt repair. 


As Alberta bankruptcy professionals, we care about your financial state and will do whatever we can to get you back to financial security, while minimizing your stress levels during a difficult time.