The phase of getting a divorce or any family legal case is difficult in both ways, emotionally and financially. Depending on the state, the cost will also vary. Case filing fees, the hiring cost of an attorney or mediator, and expert consultation fees can add up and increase your expense.
Additionally, if there are ongoing disputes between the parties, then the cost can increase further due to child custody, financial planners, real-estate evaluators, and other costs.
In that case, funding for the divorce or family legal case can be difficult, especially if you are not financially sound or your spouse was the one who supports the family financially.
To help you in this, we have come up with some options that you can consider funding for divorce or family legal cases.
Who Pays Solicitor Fees In A Divorce Or Family Legal Case?
In general, each party will pay their own legal fees. And in case of divorce, the applicant for divorce will be responsible for paying the court fees and other costs.
But there are some instances where the petitioner (the person who files the divorce) can apply for divorce costs. For example, adultery, unreasonable behavior, desertion, two years’ separation with consent, and five years of separation.
The Ways To Fund Divorce Or Family Legal Case
The costing issues related to legal cases can be very stressful when you are already going through a family breakdown or family conflict.
Therefore, a professional consultation about potential costs can help you to make an informed decision. For instance, Family law Dublin always provides free consultation and professional advice on entitlements and full legal processes.
In this way, clients can handle difficult situations well and take sensible steps to fund divorce or family legal cases. So, it is recommended to consult an expert before taking any legal step.
Now, let’s get into the main point; here, we are going to highlight some of the major ways that can help you to fund your legal process.
Apply For A Personal Loan
If your credit score is good enough, applying for a personal loan can be a good option. It is especially helpful when you will need a good amount of money for your family’s legal case, and you need years to pay off the amount.
You can keep expenses on your credit card, and, most importantly, if your credit comes in good shape, then personal loans usually come with fewer interest rates. Apart from this, you may borrow a larger sum with the personal loan than the current credit limit.
Personal Savings And Insurance
Several people who have personal savings consider paying for their divorce or family legal cases from their own account. On the other side, you can check your domestic household insurance policy to see if there is any assistance provided for legal advice.
Joint (Marital) Account
If you and your spouse have a joint means marital account, you may withdraw money from that account. But it can only be done before applying for the divorce. Also, it would be better if you could consult a family law solicitor about the legalities of this process.
Peer-to-Peer works by adding investors who wish to issue a loan with potential borrowers who agree with their terms. Through P2P lenders, you will be offered less interest than the traditional loan.
In addition, this process is relatively hassle-free, as the application process and all the other procedures are handled online.
While this process has several advantages over traditional credit sources, it does have some strict credit and income requirements. So, if you are not sure or confident about fulfilling them, it would be good to look for other alternatives.
Borrow From Friends, Family, And Relatives
There is nothing wrong with asking for help from family, friends, and relatives; in fact, it is the most common way to get funds for a divorce. In addition to financial support, you will also get emotional support.
Such types of loans are usually interest-free and don’t even require checking your credit. Still, you need to make sure to clear all the aspects related to paying the money back.
You will find several loan providers like Novitas or Silver Lining Loans, who provide loans to fund litigation for family law cases at reasonable rates of interest.
The terms of the loan will vary based on the individual’s financial position during the court process and the criteria of the loan providers. But if your case is all about children’s living arrangements, the litigation funding is not an effective option.
Legal Services Payment Order
It is commonly known as LSPOs, which allow you to apply to the court for a cost allowance to be paid from the other party after the divorce is issued. If your spouse has the means to fund your legal fees but disagrees to do so, you can consider this method.
But, to be eligible for this order, you need to show evidence from a minimum of two commercial lenders. It will state that you can’t obtain a loan to meet your divorce costs.
Maintenance Pending Suit
If you are not eligible for the Legal Services Payment Order, or it is not available, you can apply for a legal cost allowance as your maintenance pending suit.
Litigants In Person – ‘Pay As You Go’
If you have little or no resources to fund your divorce or family legal case and are compelled to act in person, you may find it difficult to navigate the legal landscape. In this case, working in a hybrid relationship with your solicitor can be a good option.
Here, your solicitors will provide you with limited or partial advice regarding your case on a “pay as you go” basis. You will only be required to pay for the legal advice you can afford, and then based on the advice; you should represent the case on your own.
Sell Or Mortgage Property
If you can’t manage funds for your divorce or family legal case in any way, then you can consider this option. You can sell your property or person to mortgage your property and get the money to fund your case. It can be hard to sell an inherited property or sibling buyout property.
Withdraw Funds From Retirement Accounts
Most states allow withdrawing from 401ks or retirement accounts to fund a divorce. But it should be your last consideration as this includes some risks. For example, if you take a large amount from your retirement account, then this account won’t have years to earn many interests. Again, until you repay the loan, you may fail to contribute additional money to the 401ks account.
In fact, if you quit the job or are laid off or retired before replaying the amount, there could be negative consequences. Therefore, you should consider the above ways before you consider borrowing funds from your 401K.
What If You Can’t Afford To Pay For A Divorce Lawyer?
If there is no way to fund your divorce or family legal cases, you can contact your local legal aid agency (if available). This way, you may be eligible for no-cost or low-cost legal representation.
However, if you are not eligible to get legal aid assistance, or it is not available in your state, then you can represent yourself in front of the court. But, in this case, proper and strong preparation is a must. You must follow all Minnesota statutes, complete paperwork, research case laws, follow court policies and procedures, and all other required aspects.
Financial concerns of divorcing or other family legal case parties can lead them to go through an extremely difficult as well as emotional phase. In fact, the entire expense of litigation can be overwhelming for clients sometimes.
Fortunately, you have several options that can make your funding easy for different costs associated with the divorce or family legal case. It does not matter how much your income and credit score; you have resources out there to get the help. All you need to do is figure out and go for the most suitable one.