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What happens to points, rewards during a divorce?

| Aug 14, 2020 | Divorce |

These days, there are many rewards systems in place that allow consumers to rack up points or dollars when they buy particular items — like an air miles card, for instance. When an Arizona couple decides to divorce, one of the issues on the table might be what to do with those points and/or rewards. In a nutshell, these kinds of things are handled like other marital assets and are up for division — if they were amassed during the course of the marriage.

Much depends upon the state laws in which the couple resides. Arizona is a community property state, so typically, those points and/or rewards will be divided 50/50 by the court if the parties can’t come to an agreement. But how does one go about splitting the things that aren’t tangible? In most cases, they can be split down the middle, but doing so usually comes with a fee — the cost of which would be the responsibility of both individuals. 

When points can’t be split equally, there needs to be a way of valuing them. There could be an assigned value to accrued points, and one person could negotiate payment or other property to even things out. Many rewards programs assign a monetary value to each point.

When there are confusing elements to the division of property in a divorce case in Arizona, the best person from whom to seek advice is a lawyer. He or she may be able to best explain how property division works and offer guidance on the more cloudy things, like points and rewards programs. A lawyer may be able to help a client to iron these things out to keep a case from ending up in litigation.