Personal Loans for Bad Credit Compare loans from trusted lending partners to consolidate debt or finance a purchase. You’ll get personalized rates to help you find the right loan, faster. – American Debt Enders

Consider some practical reasons why getting a bad credit loan could be a better choice than some of the more common ways of dealing with financial problems.

Why a bad credit loan could be a better choice

Despite the idea that VA loans aren’t as stringent when it comes to credit scores, most lenders would actually like to see a score of 620 or higher for approval. With a bad credit personal loan, veterans with service-connected disabilities, debt, and credit scores below 620 won’t have to put all their eggs in one basket. It can also widen some of the eligibility lanes and provide some financial relief more quickly.

Dealing with Debt after Divorce

Divorcing your spouse can be an overlooked source of long-term financial strain. Some of the financial decisions made during marriage aren’t so easily navigated once you’ve decided to part ways. While a divorce doesn’t show up on your credit report, your score could suffer some residual effects depending on any debt incurred during the marriage, as well as attorney fees and other costs.

Apart but not alone

Divorce, like bad credit, can cause feelings of loneliness and anxiety. Much of it stems from regret, especially for those who weren’t financially independent during the marriage. The first thing you should know is that you’re definitely not alone. The process isn’t easy. Neither is finding a way to both educate yourself about your finances and re-establishing some healthy financial habits. It’s also important to note that while you might be divorced from your former spouse, keeping your financial partnership intact is ideal when tackling some combined debt.

You’re not alone.

After divorce:

Are worried about their finances after getting divorced

Say that divorce put them in financial ruin

What combining debt means during marriage and after divorce

It’s considered a myth that any debt you incur individually will automatically merge with your spouse’s debt after marriage – making both of you liable for all of it. It’s not so much a myth, but rather an overly generalized view of what can actually happen. If you or your spouse incur any debt during the marriage, joint liability will ultimately depend on where you live.

Most states will follow one of two rules when looking at debt within marriage:

Community Property – where income and most debts incurred by one spouse during marriage are owned by “the community” – both spouses.

Common Law – where most debts incurred by one spouse during marriage are owned by that spouse alone. (Exceptions to this rule are any debts that fall under “family necessity” – i.e food, shelter, medical expenses, and school tuition.)

Community property map

This is important, because creditors in community property states can seize a couple’s assets to pay off debts, even if the debt was incurred by one spouse. While the rules vary by state, most will follow common law rather than community property. But a lot depends on how you and your spouse choose to handle the family finances.

Did you know?

report that their former spouse’s spending habits were different than expected before marriage?

Essentially, there is nothing that legally binds you to all of your spouse’s debt. However, many divorcees note that they had different expectations of their spouse’s spending habits than what occured in reality. Red flags that show up on things like joint bank accounts or joint credit card accounts can create problems that linger after the marriage ends.

Whether or not spending habits played a role in the divorce, you may find yourself struggling with unpaid bills and an ex-spouse who unfortunately isn’t carrying their weight to pay their share of the debt. As a result, your credit score takes a hit.

The cost of divorce

Even though the outcome is the same, not all divorces are created equal when it comes to the details. The ideal scenario would result in a quick, low-stress, and relatively painless process that keeps costs as low as possible. Unfortunately, that’s not always the case. Decisions such as renting your next place of residence vs. owning, hiring a divorce mediator vs. separate divorce lawyers, and moving out of state after the divorce vs. staying local can mean a difference of thousands of dollars in expenses. Putting these expenses on a credit card to avoid dipping into your savings might seem like a logical solution, but it could prove to be just a Band-Aid instead of an eraser.

A large piece of the cost will come down to whether the divorce is uncontested or contested. An uncontested divorce means both parties agree on the details of the separation, and can generally take care of everything for a few hundred dollars. A contested divorce means you can’t agree on all the issues to adequately move forward, and a neutral third party needs to be involved. Divorcing couples commonly hire a mediator if large assets or children are in the picture. Mediators tend to charge an average of $100 to $150 per hour, depending on the complexities of the situation.

Issues negotiated through mediation include:

Mediation is certainly cheaper than litigation. And keeping your divorce out of the courts can spare all parties involved some emotional and mental stress. The bottom line is understanding all costs involved with divorce can help to shape your thinking about financing and the effects on your credit.

Common suggestion: Sign a prenuptial or postnuptial agreement

If a couple decides to divorce, the related costs are unavoidable. Though it’s difficult to really prepare because you can’t predict the future – and going into marriage with your mind on divorce could be a downer. But many do choose to go the prenup route to fend off any potentially ugly litigation. Postnuptial agreements are no different, other than the agreement is made after the couple is married. Couples tend to consider a postnup if divorce is on the horizon and they want to agree to keep costs as low as possible before proceeding.

Why a bad credit loan could be a better choice

Though a nuptial agreement can help with some divorce-related costs, it’s no guarantee that you won’t incur debt as a result of the divorce. It also has no bearing on any unpaid debt that’s incurred during the marriage. Your credit score could already be in the red by the time of your divorce, and a bad credit loan can help you to navigate the beginning stages of a challenging season.

      Dear reader, of late American Debt Enders has received a number of inquiries
from consumers looking to obtain a Debt Consolidation Loan to relieve their personal cash flow problem.
As a result we have responded to meet this need. We have set up a website which contains over forty lenders, all of whom have been
peer reviewed. That means that you the consumer have shared your experiences in dealing with each of them.

This content was originally published here.