There are any number of reasons why you might want to get a free copy of your credit report.
But your credit is especially important during significant changes in your life, such as buying
a house, changing jobs or getting a divorce. Unlike the first two reasons, divorce has
unique issues regarding the type of credit accounts you have. And when you get a free copy of
your credit report, it's important to understand the account differences.
There are two types of accounts you may see when you get a free copy of your credit report.
The first type is an individual account which you can have when you're either married or single.
You may authorize others to use the account but you are solely responsible for paying the debt.
The record of the account will be on your credit record and may also show up on the reports for
the other authorized users. For accounts opened after June 1,1977, the record must also be in
the credit file of an authorized user, if the person is your spouse.
The advantage to an individual account is that you are in control of the
account. The disadvantage is that your income alone must pay for the debt.
The other type of account is a joint account in which both spouses share the account. If the
account is reported to a credit bureau, the history of the account must show up when you get a
free copy of your credit report for all joint accounts opened after June 1,1977.
Because a joint account combines the assets and incomes of two people, greater credit may
be obtained than for an individual account. However, the downside may occur after the divorce.
Even if the divorce decree assigns the repayment of the account to only one spouse, this doesn't
release the other spouse from any obligation for the debt. To make one spouse solely responsible
for an account, both spouses must contact the creditor and the creditor must agree to the change.
So after a divorce, you may be separated physically but still connected financially. And this
is why it's important to be aware of your account situation when you get a free copy of your
credit report. Joint accounts will still carry joint responsibility, although a creditor can close a
joint account at the request of either spouse. If you change a joint account to an individual
account, the creditor may ask you to reapply and may not grant you the account. Also after a
divorce, you remain liable for the actions of your spouse if he or she is an authorized user of
your individual account.
To get a free copy of your credit report and free 30 days of credit monitoring, please go to
free instant credit reports.
