When Pennsylvania couples get a divorce, there are many aspects of property division that must be addressed. One of those that may not always be thought about is splitting up car insurance.
When a couple divorces in Pennsylvania, a common concern is what will happen to the family home. It is often the case that a house or condominium is the most valuable asset the couple owns. In addition, homes can have sentimental significance, creating a potential source of conflict between the spouses.
When a Pennsylvania married couple seeks a divorce, they may have to create a Qualified Domestic Relations Order. If one person has a retirement account, their spouse may be entitled to assets in the account. Retirement accounts usually have early-withdrawal penalties, but a QDRO prevents these fees from being assessed if they are paid out as a result of a divorce.
It is important for Pennsylvanians to be careful with the way that they use language in their property division agreements in order to avoid problems if their estranged spouses subsequently file for bankruptcy protection. While child support and spousal support are both considered to be non-dischargeable in bankruptcy, other ordered or agreed-upon payments may be discharged by the bankruptcy court regardless of any family court order or agreement.
Divorcing Pennsylvania couples will need to divide their marital property as part of the process, and this could include a home. While one person might want to remain in the home, that person should consider whether doing so might be difficult emotionally. They should also make sure that they will be able to afford the mortgage on just one salary.
When Pennsylvania homeowners divorce, both might want the house. However, there are a number of reasons that one or the other might not get the home, and in some cases, neither might get it.
Pennsylvania couples who are getting a divorce and who own a house together have a few options. Some people may not want to fight over the house. Some couples continue living together and paying the mortgage despite the divorce.
As Pennsylvania residents may realize, getting a divorce might be costly, particularly when one of the partners may have to start over. Having to purchase items for a new home such as furniture, kitchen supplies and linens might be added onto alimony payments, child support and other costs. Protecting oneself during a divorce is important.
The idea of going through a divorce might be stressful, which could prompt some Pennsylvania couples to attempt to rush the process in order to put it behind them. However, a rushed divorce can lead to serious financial difficulties for one or both parties. It is helpful to enlist the aid of a financial adviser during the process to ensure that the matter's financial implications are considered carefully.
When Pennsylvania couples find themselves headed for both divorce and bankruptcy courts, they might want to take a step back and consider which to file for first. That's because one could have a substantial impact on the other.