Did you know that 67 percent of marrying couples are too embarrassed to tell their significant others what their credit scores are? That’s true, according to a certified financial planner with Delta Community Credit Union. That number is shocking, considering how important financial transparency with your spouse is to a lasting marriage.
In fact, not knowing your spouse’s credit score could be a predictor of divorce.
How Does Credit Score Predict Divorce?
The Federal Reserve looked at 12 million couples over the course of 15 years, studying their credit scores, and found that the higher your credit score is, the more likely you are to stay together. That may seem obvious, as a high credit score may demonstrate person is trustworthy and financially responsible, two positive traits in a partner. (Of course, these are not moral considerations. Many people have low credit scores due to circumstances beyond their control, such as unemployment and medical bills.)
The study also found that the closer your credit score is to your spouse’s, the more likely you are to stay together. For every 66-point difference between your scores, there is a 24 percent chance the marriage will fail within four years. Yikes!
Engaged couples should plan their finances together in a transparent manner and work out their future household budget, establish joint and/or separate bank accounts as well as retirement planning. The best ways to build credit with your spouse are to budget responsibly, set clear financial goals as a couple and meet with your spouse regularly about your finances. Even if your credit is bad, being honest about it and your plans to build credit helps foster goodwill between you and your spouse and help to build a long-lasting relationship.