It is a sad fact that marriages simply do not last any longer. There are many reasons for this, but the pressures of modern life and the changes in the attitudes of society about divorces certainly contribute to this phenomenon. Some things have not changed, however. Divorcing is still an emotional experience and the process can be extremely expensive, especially if the separation is acrimonious. In such cases couples are sometimes forced to find divorce financing to pay all the costs involved.
Even very wealthy couples will find that divorcing generally leaves them much poorer than before. In most cases it will be necessary to hire expensive lawyers that charges by the minute. Time spent in court can be horrendously expensive. It is also often necessary to liquidate assets and this can involve steep penalties and service fees, especially when market conditions are not ideal.
If divorcing couples are reasonable, fair and willing to negotiate in good faith, they can do much to lower the cost of the process. If they can, for example, reach agreement on the division of their assets, custody matters and maintenance issues then they do not need lawyers to negotiate with other lawyers on these matters. Every minute that a lawyer spend on a case is charged. In an uncontested case only one lawyer is necessary.
Contested cases are almost always extremely expensive. In these cases the partners simply cannot agree on key matters and they therefore hire lawyers to negotiate on their behalf. This can be a lengthy process and each partner will have to pay for every minute that the lawyer spends on the case. The cost escalates considerably when the lawyer has to appear in court to ask the judge to make the final decisions.
Many companies and financiers offer special loans specifically meant to pay for the cost of divorces. These loans are processed quickly, but the interest rate may be very high and the payback schedule will be extremely strict. Clients will also have to pay a hefty admin fee and pledge some of their assets to secure the loan. Care should be taken because these loans can cause long term financial difficulties.
Financial experts agree that it is better to sell joint assets in order to finance divorces than to use borrowed money. By borrowing money from a pension fund, for example, better rates can be obtained and the payback terms will be more reasonable. Other assets that will be divided between the two partners can also be sold in order to raise the money necessary to pay for divorces.
Many couples enter into prenuptial agreements before they get married. Such agreements can also help to lessen the cost of divorces because most of the main areas that are normally contested will already be decided contractually. It is also possible to purchase special insurance that is designed to cover the legal cost of both partners during their marriage. This often include the cost of divorcing.
Divorcing can certainly be a traumatic and emotional experience. Sensible couples will realize, however, that there is no need to cripple both partners financially in the process. Much money can be saved by negotiating in good faith and by being reasonable. A therapist can help couples overcome their negative feelings and to act sensibly.
Even very wealthy couples will find that divorcing generally leaves them much poorer than before. In most cases it will be necessary to hire expensive lawyers that charges by the minute. Time spent in court can be horrendously expensive. It is also often necessary to liquidate assets and this can involve steep penalties and service fees, especially when market conditions are not ideal.
If divorcing couples are reasonable, fair and willing to negotiate in good faith, they can do much to lower the cost of the process. If they can, for example, reach agreement on the division of their assets, custody matters and maintenance issues then they do not need lawyers to negotiate with other lawyers on these matters. Every minute that a lawyer spend on a case is charged. In an uncontested case only one lawyer is necessary.
Contested cases are almost always extremely expensive. In these cases the partners simply cannot agree on key matters and they therefore hire lawyers to negotiate on their behalf. This can be a lengthy process and each partner will have to pay for every minute that the lawyer spends on the case. The cost escalates considerably when the lawyer has to appear in court to ask the judge to make the final decisions.
Many companies and financiers offer special loans specifically meant to pay for the cost of divorces. These loans are processed quickly, but the interest rate may be very high and the payback schedule will be extremely strict. Clients will also have to pay a hefty admin fee and pledge some of their assets to secure the loan. Care should be taken because these loans can cause long term financial difficulties.
Financial experts agree that it is better to sell joint assets in order to finance divorces than to use borrowed money. By borrowing money from a pension fund, for example, better rates can be obtained and the payback terms will be more reasonable. Other assets that will be divided between the two partners can also be sold in order to raise the money necessary to pay for divorces.
Many couples enter into prenuptial agreements before they get married. Such agreements can also help to lessen the cost of divorces because most of the main areas that are normally contested will already be decided contractually. It is also possible to purchase special insurance that is designed to cover the legal cost of both partners during their marriage. This often include the cost of divorcing.
Divorcing can certainly be a traumatic and emotional experience. Sensible couples will realize, however, that there is no need to cripple both partners financially in the process. Much money can be saved by negotiating in good faith and by being reasonable. A therapist can help couples overcome their negative feelings and to act sensibly.
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