One common method of funding a divorce is using personal savings. This is the most straightforward option but not always practical, especially in households where one partner controls most of the finances. In some cases, a spouse might have limited access to marital accounts, which can make paying for a lawyer or court fees difficult. In such situations, it is sometimes possible to request a court order for access to shared funds to cover legal costs. Courts understand that both spouses have the right to legal representation and may compel the higher-earning spouse to contribute to the other’s legal fees.
Another method is borrowing money, either through personal loans, credit cards, or lines of credit. While this route can provide quick access to funds, it also comes with long-term financial consequences. Interest rates can be high, and repaying the debt post-divorce can add to financial stress. However, if the borrower is confident about their financial stability after the divorce, or expects a favorable settlement, it may be a manageable solution.
Some law firms offer alternative payment arrangements, such as deferred billing or payment plans, especially if the client is expected to receive a settlement or alimony. In some states or under certain legal circumstances, lawyers may even work on contingency ? meaning they get paid only if the client receives money through a settlement. This is less common in family law than in personal injury or civil litigation, but it is still worth inquiring about.
Litigation funding companies also provide financial support for people going through divorce. These companies offer loans specifically for covering legal expenses, and repayment is typically required only after the case is settled. These loans are often secured by expected settlement proceeds, and the approval process includes a review of the case’s potential outcome. While convenient, litigation funding can be expensive, with high interest rates and fees, so it should be considered carefully.
In certain cases, friends or family may be willing to lend or gift money to help fund a divorce. This option can reduce the burden of interest-bearing debt but may also introduce complications, especially if repayment expectations aren’t clear. It’s important to formalize any agreements to avoid misunderstandings.
Public legal aid may be available for individuals with low income. Some nonprofits and family law clinics provide free or reduced-cost legal services. While these services may not cover every aspect of a divorce, they can help with the basics and ensure that everyone has access to the legal system, regardless of income.
Ultimately, funding a divorce is about understanding your options and making the best choice based on your financial situation and long-term goals. With planning and the right support, it is possible to navigate the financial challenges of divorce and move forward toward a more stable future.