Most people in Virginia are aware that a great deal of thought and consideration often goes into the process of deciding whether to end a marriage. Once that decision is made, however, couples are left to make multiple decisions that could ultimately have a significant impact on their financial stability for the years that follow. While deciding who will keep the house and how child custody will be divided are obvious, other decisions — such as who will retain any points earned with the use of a credit card — may be easily overlooked during the asset division process of a divorce.
However, credit card reward points have value even if they may be easily overlooked. If one spouse can prove that he or she had the credit card in his or her name only and the associated reward points were earned prior to the marriage, that person may be able to retain all the points. However, if the points were earned during the marriage — even if the card was held in only one spouse’s name — they will likely be considered marital property.
The first step in deciding how to split the asset is determine the monetary value of the points. For example, if the credit card company allows 250,000 points to be cashed in on $250 of travel, the points are worth one cent each. While some couples may be willing to evenly divide the points, some companies will not allow them to be transferred or require a fee. One person could ultimately take them, and the other could receive an equally valued asset instead.
While many couples in Virginia recognize that a divorce is in their best interest, they may find the asset division process overwhelming. Because some may be eager to begin the next stage of their life, they may potentially overlook a valuable asset to which they may be entitled. Fortunately, there are experienced family law attorneys who are aware of these potential assets and can help ensure that their clients’ best interests are met.