What To Know About Dividing Antiques In A Divorce

Posted by: Gerald A. Maggio, Esq.

Orange County divorce mediation; California Divorce MediatorsOther than your home, considerable joint property exists in valuable items present in your home. Similar to the appraisal of the real estate before your divorce, it is a good idea to appraise the personal property as well. This is as the total value of your personal property can add up to a large amount. Only after you determine the total value, can you decide upon a fair property division. An appraisal of personal property can assist to insure items from future damage.

Antiques belonging to your spouse

It is likely that you do not personally own a multi-million dollar antiques collection but you want a fair share of all the marital assets. It is easy to know what is your fair share. This is usually the assets you and your spouse shopped together. It does not matter who paid for the goods. What matters is that you have helped your spouse to purchase them. Do understand that you require a thorough appraisal of the personal assets to arrive at a fair share.

Antiques and value appreciation

You should always think of your future when there is prospect of a divorce. If you are a woman, keep in mind that  women generally earns much less than men. Many women exhaust their money quickly post divorce. A few divorce experts recommend that you should take the antiques over the car. The rationale behind this advice is that antiques go up in value while the car’s value depreciates over time. It is also to be factored in that majority of divorce lawyers have minimal knowledge of appraising. They have zero knowledge of antique furniture or stamps which you and your spouse have bought when the marriage was on solid ground.

Formal appraisal procedures involve a number of sequential steps. A generic process starts with you reading and accepting the appraisal terms placed before you. This can be both physical paper and in online form. You must complete all fields present in the form. This helps to make a better appraisal. You will be asked to send a photograph of the item. You may be asked to send a portion of the payment in advance for appraisal services.

Orange County divorce attorneys in California can work with professional appraisers to critically examine the assets of their clients. They also protect them. Lawyers select only those appraisers who have proper educational background. Only the latter could provide current and correct values of collectibles, art and antiques.

Getting divorced in California can be complicated.  Download our free eBook, 18 Important Things to Know About California Divorce to educate yourself on the process.  

Considering Your Credit Ratings When You Get Divorced

Posted by: Gerald A. Maggio, Esq.

Orange County divorce mediation; California Divorce MediatorsIf you are getting divorced, it is imperative for you to be cautious so that your credit does not get damaged during the process. Check out some of these common scenarios that you should be vigilant about.

It is becoming too much to make the car payments 

The court has declared that the family car should be awarded to the ex-wife. However, she is also supposed to take ownership of the payments. When the couple was married, it might not have been a strain to make those payments. However, now that she is shifting to a new house and has to completely rely on her own personal income, she may end up paying the EMIs late. When payments are not made on time, the credit report may get hit. 

None of the spouses paid the due on their joint credit. 

When the divorce settlement is being negotiated, both the parties usually settle and decide who will bear the responsibility of paying certain debts, For instance, the former husband is supposed to pay the debt on the joint credit card. When he fails to pay off the debt, collections may receive that account. As a result, there could be significant damage caused to the records of both the parties although the former wife is clueless about what was happening.

No credit as there was no history 

In many marriages, only one of the spouses controls finances. On many occasions, the names of both the couples may feature on the accounts. For instance, only the husband’s name appears on the sole credit card and on the mortgage and the wife has to depend on their family checking account. After a divorce is finalized, the said wife may not have any credit as she did not attempt to create her separate credit history during the marriage. It is important to note that credit history is a part of the credit score.

Ensure that credit record are protected

The spouses should realize that credit scores are an important concern during the process of divorce. It is crucial for both the parties to contemplate about personal credit history. They should address relevant concerns in their divorce decree. Here are some of the ways of doing so.

  • Separate from the joint account 

A spouse should ensure that their name no longer features in an account controlled by the ex.

  • Must have separate and own accounts 

One needs to ensure their access to credit. Both the parties should ensure that those accounts have a good history.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

Out-of-State Properties Held by a Couple in a California Divorce

Posted by: Gerald A. Maggio, Esq.

Orange County divorce mediation; California Divorce MediatorsProperty division is an important part of a divorce and many people are cautious about what happens to their properties after a divorce. Properties can be many types and are usually seen as separate or marital. Properties can include stocks, loans, shares and intangible materials. In recent years, the number of out-of-state marriages has risen and this includes individuals who belong to a different nationality. Now, these ‘other’ nationality individuals have properties which are not present in the U.S. soil. How are such properties treated once the couple gets divorced?

A divorce comes with many complications and most of them involve dividing properties and other finances. Even with an experienced lawyer, it can be tough for some to accept the final outcome of the divorce proceeding.

How are out-of-state properties treated in a California divorce?

California state laws allow family law judges to have jurisdiction over properties that are located outside the state of California, which are considered “quasi-community property.” They are  entitled to make decisions that directly involve out-of-state properties.

Properties that are acquired during a marriage are regarded as marital community property by the California law and must be divided equally after a divorce. Properties purchased during the marriage outside of California are generally treated  as quasi-community property and are liable for equal distribution.

Dealing with out-of-state properties can become complex and confusing. During such property divisions, the family law judge plays a vital role and much of the outcome depends on the judge. It is advisable for individuals going through divorce mediation to hire an Orange County divorce mediator lawyer who has experience in out-of-state property dealings and division.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

Are you responsible for your spouse’s credit card debts after divorce?

Posted by: Gerald A. Maggio, Esq.

orange county divorce mediator; California Divorce MediatorsYou have divorced your partner but you may still have to take certain additional steps to ensure your financial stability. If you and your former spouse held joint credit cards before your divorce, ditching debts can be a difficult proposition. It should be understood that a credit card company is not bound by any kind of divorce decrees. Hence, they can be after you for debts that are jointly incurred in case you ex spouse fails to pay. That is precisely the reason why any Orange County divorce lawyer, credit counselor or financial planner may suggest you to end your marriage without any kind of joint debt. Now, this can be done by opting to pay off your joint cards together. Alternatively, the debt in incurred on your joint credit card can be split and then transferred to the card in the name of each partner. The aim for this step is to ensure that all your liabilities are removed for the debts incurred by your partner. Make sure to inventory the wallet you hold and ensure the cancellation of all the joint credit cards during your divorce process.

It can be extremely painful to go through the consequences of stepping into your new life with previous jointly held debts. If your former spouse refuses to pay whatever he or she was supposed to pay or files for bankruptcy, the creditors may be after you to realize the entire debt amount along with penalties and interests. As a precautionary step in this direction, you may include additional provisions into your divorce agreement so that your former spouse has to pay up. However, knocking the doors of the court can be both time-consuming and costly.

Here are the basics

Typically, any debt that is incurred during a marriage is the combined responsibility of both the parties provided they have been co-signers on those credit cards. On the other hand, in case the credit card is in the name of only one spouse and the other partner has been named as an additional cardholder, the latter cannot be held responsible. After the partners have got legally separated, any debt that has been incurred on a credit card is the sole liability of that spouse who made their purchases using the card,

What are the options before you?

You have various kinds of options to handle debts on a joint credit card. The one that you will employ depends on the nature of relationship you share with your ex spouse. A sure shot way to make sure that you don’t have to pay for those joint debts is to cancel all your joint cards. A second option for you could be to pay off all jointly incurred liabilities using your joint savings or joint assets such as a jointly owned property. In case you are not doing well financially, you can consult a good Orange County divorce attorney to assist you in figuring out the various options.

To learn more about the divorce process in California and how mediation can help, please clink on this link to visit our page, What is Divorce Mediation

Issues When Dealing With Commingled Funds In A Divorce

Posted by: Gerald A. Maggio, Esq.

divorce mediation attorneys in Orange County; California Divorce MediatorsPrior to getting married, the property owned by you is regarded by the court as your “separate property”. This dignified that such a property is owned only by you and not by your spouse. For example, if you have $15,000 in your bank account and own a property while getting married, you are bringing your separate property in the marriage. Such a property remains your separate property if it is not “commingled” with your spouse’s separate property brought into your married life. For instance, in case you get married and both of you stay in the same house that is owned by you prior to the marriage. However, if the incomes of both you and your spouse are being contributed toward paying the mortgage, such a house is automatically counted as a marital property. In other words, it becomes a property your spouse may be interested in,provided both of you decide to divorce in the future.

The job of splitting property as well as other marital assets could be a tough one and full of conflicts especially for those couples where there has been a commingling of funds in the course of the marriage.

While negotiations continue for divorce settlement, determining which property should go to whom while depend on the degree of the occurrence of commingling of funds during that marriage as well as the complexity of transactions like home or automobile purchases, a big and crucial role is played by commingled funds during a divorce.

In case you fail to keep a thorough accounting of what is being done with your assets and properties during your marriage, it is not easy to prove that the purchase of that property was not done with commingled funds. The following are some of the tips for all those spouses who do not want to commingle during their marriage.

Enter into a prenuptial agreement

It makes sense to have your prenuptial agreement in place, which will clearly state, which properties will be counted as marital properties and which will be not in the event of a divorce.

Avoid paying off marital debt using your separate property

You should not use your separate property for paying off any marital debt. For instance, if you receive a hefty amount of money from your parents as a gift, the money should be used towards paying off a credit card debt or your home debt. You need to note that when funds benefit a marriage, they become marital property.

You should have separate bank accounts

Funds should only be deposited in a joint account when you want to count it as marital funds. When you deposit funds in your separate and individual bank account, it is regarded as your separate property.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

Tips for Splitting Marital Property During a Divorce

Posted by: Gerald A. Maggio, Esq.

divorce mediation attorneys in orange countyBefore understanding how your marital pretty should be split during a divorce, it is important to recognize what a marital property means. Any property owned by you or your spouse during the course of your marriage is counted as a marital property. The properties you owned prior to getting married or any property that you inherit while being married is not considered as your marital property. Some spouses are under the impression that they can escape the process of splitting their marital assets; however, a divorce lawyer is a smart professional. Hunting for hidden assets is one of their top priorities when they fight cases for their clients. If you do not want to get penalized by the court for tucking your marital asset, later on, it is better to disclose such properties in the beginning. Check out the following tips for splitting your marital properties while your divorce proceeding is pending.

Take help of a mediator

It is a good decision that you hire a mediator who will help you by working on sticky issues, which may pop up while the marital properties are being split. While it is a requirement in some States to have mediation while the divorce process is on, other States do not have such a requirement. It is better to save your money and time by hiring a reputable mediator who will help you in this process prior to the involvement of the courts.

Stop fighting on small issues

When you let emotions rule over your good sense, your objectives may not be fulfilled. For instance, there could be a portrait in your bedroom, which you are emotionally attached to and want to take it with you by any means and you do not agree with your spouse that he or she should have it. In case you fail to arrive at an amicable settlement on such trivial issues, your judge may not care about your emotional attachment to certain objects. A court’s job is to find out the assets acquired by you during your marriage, As such, it will instruct the property to be split according to the laws of your state and not according to what you want. To put it simply, it is you and not the judge who has made an emotional and financial investment in your marital property. A judge cannot and is not in a position to order for the split of marital properties in a manner that will satisfy both the parties involved. If the couples can mutually sort out those issues, then only both of them can be satisfied. Any attempt made to hide marital assets is a legal offense, which means you are violating the law.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation 

Posted on Monday, September 18th, 2017. Filed under California divorce, California Family Law, Division of Property, Division of retirement plans, Divorce, Divorce & Debts, Divorce & Division of Property, Divorce & Family Businesses, Divorce advice, Divorce court proceedings, Divorce Mediation, Family Law, Frequently asked questions, Orange County divorce, Orange County divorce mediation, Orange County divorce mediators.
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How to Determine Your Financial Needs After Divorce

Posted by: Gerald A. Maggio, Esq.

divorce mediation attorneys in Orange County; California Divorce MediatorsYou may think that estimating your expenses after the divorce is an easy task but in reality it may not be true. In fact many people are unable to name a proper estimate of their current lifestyle expenses. Majority of the people are practically clueless about where their money is going. Even if they have a tough idea, they are unable to articulate it properly when queried about it. When someone prompts them about what their expenses and requirements could be at present, they may agree to that.

What could be a big mistake?

Usually, your attorney may request you to prepare a budget based on their expenses. You may not down the obvious expense heads such as phone bills, Internet bills, cable TV/ satellite TV charges, cat insurance, loan payment for car, utilities, rent and mortgage. However, you may still feel that something is still amiss. Since you are well e not certain, you do not hand your budget to the attorney. Although your attorney may be constantly after you, you cannot be specific though your time could be running out.

In fact may find that the process has a strong likelihood with done or being asked the sand question repeatedly in a torture like situation.

While you may not have a sure shot answer to their question, you may eventually give your attorney something so that they do not pester you again. You should remember the figures you hand them over will be used for ascertaining some major monetary issues in your divorce case.

A financial consultant specialized in divorce cases suggests their clients that in case they want spousal support but do not know what their exact requirements are and what they should ask for, there are high chances of not getting it. On the other hand, when you are supposed to provide for spousal support but are ignorant on what are your needs. It is a tough job to hang to it. Plus it may not be there if you require it.

Merits of consulting a good divorce financial professional

When you work closely with a reputable divorce financial professional, the financial aspects of a divorce can be smoother. Additionally, it will also be more financially sound. Remember that it is the most crucial financial decision in anyone’s life. A divorce financial expert is well-equipped with the knowledge of a detailed list of all possible costs that could either be applicable to you or may help in reminding you to add it to your expense list. A well-prepared statement of expenses as well as a proper understanding on how up use your money can be the foundation of your financially secure future.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

Issues Related To Retirement Benefits and Divorce

Posted by: Gerald A. Maggio, Esq.

divorce mediators Orange County; California Divorce MediatorsThe entire divorce process is quite a complicated one as there are various issues to be handled and sorted out such as distributing marital assets, parenting plans, custody issues along with the emotional trauma a spouse may go through during this period. Moreover, there could be a million other things hovering around in your mind. One of the most crucial issues to be sorted out at this juncture is how to treat the retirement assets since distributing them could be a time-taking process. In case you have recently filed your divorce petition and contemplating about the retirement benefit solution that you should get, you need to keep the following factors in your mind so that the process operates in a smooth manner.

Equal distribution of marital assets

Since all divorces are not sane, a single solution cannot fit all of them. There are many couples who are in agreement regarding maintaining their individual personal retirement benefits. They also decide to take leverage of the other assets so that the distribution of the property can be balanced out. Ideally, each asset is not split in a divorce. Rather piles are made on both sides so that there is a more or less equal distribution of assets at the end. But the real issue is that all couples do not have sufficient retirement plans with them. There are many cases where one of the parties has been relying on the other spouse for the retirement benefits. Where sorting out of retirement benefits is concerned during a divorce, when one spouse does do not have any kind of a retirement plan or the plan is not sufficient, there are several ways to make sure that the person gets something to depend on after his or her retirement. But there could be scenarios where each party getting their assets and individual retirement plan equitably distributed fails to work there could be other options like social security benefits discussed below.

Treatment of social security benefits

This is another kind of retirement financing. But, it is distinct from an arrangement like QDRO. According to the Federal Law, these benefits cannot be distributed among the two parties. There are certain cases where one party is legible for the social security benefits, which is based on the employment of their ex-spouse. In case, it is so, the said spouse may agree to that benefit provided it is more than what they would have got in accordance with their individual work history.

Moreover, in some cases, one of the two parties can instruct the payment of the spousal support for the other party from his or her individual social security. However, regulations vary on the basis of circumstances and regions.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

How Is Legal Separation Different From A Divorce?

Posted by: Gerald A. Maggio, Esq.

divorce mediation attorney Orange County; California Divorce MediatorsLegal separation is the formal process of confirming an actual separation of the parties, as opposed to filing for divorce.  Parties that chose legal separation do so for religious reasons, do not believe in divorce, or have concerns about medical insurance coverage, among other reasons.  If the parties proceed all the way to a final judgment in a legal separation case, they can obtain the same orders that they would have in a divorce case.  The biggest difference is that in the end, the parties are technically still married after a legal separation case and cannot get legally remarried.

Agreement for separation

An agreement on separation includes terms that are quite similar to those if the concerned couple was getting a divorce. This means there will be a distribution of their marital property, agreement on child visitation and custody if applicable. Not only this, the couple opting for a legal separation will also have to come to a decision on dividing any debts that were incurred by them after they got married.

Ideally, the above-mentioned terms should be binding in case the couple wants to get divorced. Moreover, both parties should hire their individual attorneys for negotiating all the details of the agreement on their legal separation. In case the spouses eventually make up their mind to go one step ahead and file for a divorce, it has been observed that the judge usually keeps the same terms as both the parties agreed to them earlier.

Differences between a legal separation and a divorce

Check out some of the following key differences between a divorce and a legal separation.

Name

While the spouse continues with the legal married name in the case of a separation, a wife may revert back to her maiden name after the divorce comes throughout the divorce be.

Child support

The conditions related to child support are ascertained when the legal separation takes place. When a couple decides to go for a divorce after being legally separated, ideally, the same terms are followed that were mentioned in the document for legal separation.

Marital status

A couple is still married even though there is a legal separation going on. But when the divorce is finalized, the marriage ends.

Child visits

Visitation rights of the child are decided when the legal separation takes place. If a divorce comes through after the legal separation, most of the times, the same terms are followed as mentioned in the document of their legal separation.

Alimony

The terms for alimony are ascertained during the legal separation. The conditions are typically kept same if the divorce gets finalized in the future.

Split of marital property

The couple agrees to the terms while going for a legal separation. When they do decide to finally divorce, the sane conditions that are mentioned in the document for legal separation are followed.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation

Is it Necessary to Sell Your Wedding Ring During Divorce?

Posted by: Gerald A. Maggio, Esq.

Orange County divorce mediation attorney; California Divorce MediatorsYour marriage has finally ended and your former spouse is no longer staying with you. Is this the time for you to dispose of your wedding ring by selling it off? Or do you want to postpone the selling process for some more time? In case your divorce is yet to be finalized, you may give some serious thoughts over considering selling your wedding ring either now or later. This is because re-purposing or selling the wedding ring may free you from your unpleasant and negative memories.

You may sell the ring due to financial reasons

Divorce can be quite an expensive process. Very few people will deny the fact that it can be a big financial burden due to costs related to the distribution of assets, legal fees, tax consequences and much more. When you are going through a great mental agony, handing such financial strains can be quite overwhelming. It is crucial to find fresh sources of income so that such a pressure can be alleviated.

In this context, it is important to note that at this juncture of your life, a precious yet least important possession will be your wedding ring as well as the engagement ring set. Since your relationship has ended, selling these rings to gather funds for meeting your divorce expenses could be a financially smart move on your part. Not only will such a step be helpful to financially improve your future, it will also enable you to sever your past ties. Selling your wedding ring need not essentially be a drawn out or tough process.

Emotional advantages of selling a wedding ring

It is not an easy job to bounce back from your broken marriage at any age. This is true for both men as well as women. After all, both the parties have to deal with varying emotions.  One may start missing his or her former spouse and wonder if the decision to split was the right one to do or not. Alternatively, you may be still full of anger and disillusionment and accuse your ex of whatever happened. Such powerful emotions related to the past can have an adverse effect on your peace of mind and health.

In order to start your life fresh after the divorce, you have to control your emotions and give yourself another opportunity to experience new and positive emotions. One way to get hold of your emotions is to dispose of your wedding ring.

To learn more about the divorce process in California and how mediation can help, please visit our page, What is Divorce Mediation