Blogging for Change

How do I get out of debt after a divorce?

by Jessica Horton on
7/5/2013
in Repaying Debt , Personal Finance

Ask the Experts: How do I get out of debt after divorce?

I'm in the middle of a divorce and I can't seem to get out of the pile of debt that was accumulated in our marriage. It seems I was "awarded" the bulk of the credit card debt, which is around $40k. I pay about $1k in child support. I currently make $85k plus bonuses. But, I can't seem to make it to the next paycheck without checks bouncing. I'm 34 yrs. old and I'm considering filing Chapter 13. Do you have any suggestions? - At Wit's End

Dear At Wit’s End,

Unfortunately, debt and divorce, more often than not, go hand-in-hand. In fact, divorce is one of the top reasons consumers seek MMI’s help to get out of debt.

Before you make a decision regarding the path to getting out of debt, I recommend researching your options by meeting with a trained credit counselor at a nonprofit organization like Money Management International. Because we have counselors who handle everything from debt management programs to bankruptcy counseling and education, they would be an excellent resource.

During your counseling session, your counselor will review your overall financial situation, discuss possible solutions and make recommendations for getting out of debt. If after that session you and your counselor determine bankruptcy is your best option, you should schedule a free consultation with a bankruptcy attorney.

But just remember, bankruptcy attorneys are (obviously) for-profit, so it’s always best to start exploring your options for getting out of debt with an organization that is knowledgeable, but also nonprofit.

Good luck!

Ask The Experts

Jessica Horton is a former copywriter and community manager at MMI.

Recommended Articles

young woman using a laptop and wearing headphones
Debt Management Plans
Consolidation without a loan? See how a debt management plan can help improve your debt situation.
Learn more
Learn more
  • Better Business Bureau A+ rating Better Business Bureau
    MMI is proud to have achieved an A+ rating from the Better Business Bureau (BBB), a nonprofit organization focused on promoting and improving marketplace trust. The BBB investigates charges of fraud against both consumers and businesses, sets standards for truthfulness in advertising, and evaluates the trustworthiness of businesses and charities, providing a score from A+ (highest) to F (lowest).
  • Financial Counseling Association of America Financial Counseling Association of America
    MMI is a proud member of the Financial Counseling Association of America (FCAA), a national association representing financial counseling companies that provide consumer credit counseling, housing counseling, student loan counseling, bankruptcy counseling, debt management, and various financial education services.
  • Trustpilot Trustpilot
    MMI is rated as “Excellent” (4.9/5) by reviewers on Trustpilot, a global, online consumer review platform dedicated to openness and transparency. Since 2007, Trustpilot has received over 116 million customer reviews for nearly 500,000 different websites and businesses. See what others are saying about the work we do.
  • Department of Housing and Urban Development - Equal Housing Opportunity Department of Housing and Urban Development
    MMI is certified by the U.S. Department of Housing and Urban Development (HUD) to provide consumer housing counseling. The mission of HUD is to create strong, sustainable, inclusive communities and quality affordable homes for all. HUD provides support services directly and through approved, local agencies like MMI.
  • Council on Accreditation Council On Accreditation
    MMI is proudly accredited by the Council on Accreditation (COA), an international, independent, nonprofit, human service accrediting organization. COA’s thorough, peer-reviewed accreditation process is designed to ensure that organizations like MMI are providing the highest standard of service and support for clients and employees alike.
  • National Foundation for Credit Counseling National Foundation for Credit Counseling
    MMI is a longstanding member of the National Foundation for Credit Counseling® (NFCC®), the nation’s largest nonprofit financial counseling organization. Founded in 1951, the NFCC’s mission is to promote financially responsible behavior and help member organizations like MMI deliver the highest-quality financial education and counseling services.