He popped the question but now it’s time to ask a few questions of your own. Even though fighting about money is the number one cause of divorce in America, many couples spend more time thinking about where to hold their wedding and which flowers to purchase than they do thinking about their financial lives together. With so many marriages torn apart because of finances, I created five crucial questions every bride and groom must ask (and answer) before they say “I do.”
- What is your partner’s credit history?
The smallest mistake can cause big trouble for your financial future as a couple when it comes to your credit score. That one credit card with a $500 balance that your partner forgot to pay since college can seriously damage your credit history once you become legally married. - Do we need to sign a pre-nuptial agreementNot signing a pre-nuptial agreement can be one of the biggest mistakes a couple makes before they tie the knot. If one of you has significantly more assets than the other, it is crucial that you protect yourself against the legal repercussions of divorce, no matter how unlikely the prospect may seem at the time.
- Is your partner currently saving any money The time to find out if your fiancé is financially clueless is before you get married. Ask them if they are putting any money away. Find out if they’ve ever taken a finance class or read a book on investing. This is a great way to suggest that the two of you take an investment class together. Couples that learn together… stay together.
- How did your partner’s parents handle their money? This is one of the most overlooked issues with couples today. How your partner’s parents handled money in their marriage can give you a pretty good inclination of how your partner will handle money in yourmarriage. If their parents were constantly relying on credit cards, for example, there’s a good chance that they have inherited this bad financial behavior as well.
- What are your partner’s plans and dreams for retirement? Don’t wait till you are both in your sixties and your spouse informs you that they plan to retire to the Carolina coast to go fishing every day, when you thought the plan was to go to Europe. Make sure you take the time to talk about your dreams for the future, and that you have the same plan for your retirement accounts.
You need to know exactly who you are marrying before you say “I do,” especially when it comes to their financial life.
Live Rich and Happy,
David Bach
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