When a marriage comes to an end, dividing assets and property can get contentious. Most couples think about splitting up the house and bank accounts. But what about less visible assets like frequent flyer miles and credit card points? Can they be divided in divorce too?
In short, the answer is yes. Under Massachusetts law, frequent flyer miles and credit card points accumulated during the marriage are considered marital property. That means they are subject to equitable distribution just like other assets.
Yet miles and points pose unique challenges when couples divorce:
Valuation complications: Most miles and points have no defined cash value. Court won’t place an exact dollar amount but will aim divide them equitably.
Transfer difficulties: Loyalty program rules can prohibit point transfers between ex-spouses. Workarounds may be needed.
Combining programs: When both spouses have accounts, the court can consolidate programs into one ex-spouse’s account.
Uses and limitations: Court orders may restrict how points/miles are redeemed post-divorce by recipient.
Documentation is key: Provide detailed account statements proving mile/point balances. Estimates won’t suffice.
While dividing miles and points during divorce can get hairy, having an experienced family law attorney can help smooth the process. Don’t let your hard-earned rewards go to waste. With proper guidance, you can take flight into your new life post-split.
Disclaimer: The content provided in this blog is for informational and educational purposes only. It should not be construed as legal advice and readers should not act upon any information provided without seeking professional legal counsel. The author does not guarantee the completeness or accuracy of the information provided. This blog is not intended to create an attorney-client relationship between the author and the reader.
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