When you get divorced in the state of Maryland, you’ll have to divide up all your marital assets with your former spouse. This includes large properties like houses, cars and savings accounts, but it also includes smaller assets that you wouldn’t normally think about. For instance, many people are surprised to learn that they have to divide up rewards points and airline miles when they get divorced.
How do you divide up rewards and miles?
Since rewards points aren’t a tangible asset, dividing them up can be complicated. Some states like California require you to divide up all your assets equally. Maryland is an equitable distribution state, meaning that you can negotiate and offer some assets in exchange for others. This could help you and your former spouse divide up your points and miles during the divorce.
If possible, you might be able to divide the points evenly with your former spouse. However, some credit card companies make you pay a fee to transfer points and miles to another person. You could also agree to keep the points in your account but give your former spouse access to their share. Similarly, you could agree to use the points for family-related purposes like transporting your children back and forth between houses.
You could also offer your former spouse a dollar amount that’s equal to the number of points they’re entitled to. This allows you to keep your points without dealing with the headache of trying to divide them up. However, you’ll have to do some research with the help of an attorney to figure out how much your points and airline miles are worth. Typically, each point is worth a little over a cent.
What’s the best way to divide up your assets?
If you’re trying to save money during your divorce, you might want to divide up your assets without hiring an attorney. But inevitably, challenges and issues will arise. Working with an attorney from the beginning is the best way to protect yourself and come to a fair agreement with your former spouse.