Many people think about homes, cars, and even debt when they think about dividing up assets during a divorce. However, divorcees in Illinois may not think about more “hidden” assets, such as frequent flyer miles and credit card rewards points. Educating yourself about how these assets get divided is an important part of the divorce process.
When was the credit card opened?
In some states, points earned on a credit card that you opened before the marriage and is only in your name are yours after a divorce. However, if the credit card was in use during the course of the marriage, any points that you or your partner earned will probably fall under the category of “marital property,” which a judge will equally divide.
The name on the credit card
Many people assume that any credit card debt or credit card points belong solely to the person listed as the cardholder. However, anytime a credit card charge is made during a marriage, the debt and any rewards associated with it are equally divided between both parties.
Points in total marital assets
When a couple divorces, every asset, including credit card points undergoes the process of having a dollar value assigned to it. Since most rewards programs assign a dollar value to each point earned, the court will use that information as a means of assigning the dollar value to the points.
Divorce is a stressful and tedious process that puts a strain on every aspect of your life. Working with an attorney who is well-versed in the divorce laws of your state can often serve as the difference between getting everything you are entitled to and walking away empty handed once the final divorce ruling is issued.