Asset division is often one of the trickiest parts of divorce. It causes a lot of strain even in amiable splits. In more volatile divorces, it can act as the center point of the most explosive arguments.
Assets are also the subject of asset hiding. But just what is this? Why do spouses do it? And how can you tell if it is happening right under your nose?
Why do spouses hide assets?
Forbes discusses how spouses attempt to hide assets. They also talk about why spouses may hide assets in the first place. Essentially, a judge needs a full picture of your finances in order to determine how to split your assets equitably or equally. They also need this information when deciding on amounts for child or spousal support payments.
Thus, if a spouse hides assets, they can make it seem like they have less to give than they do. This allows them to lower the support payments they make and give away fewer of their personal finances or items. In other words, they get to keep more than their fair share while you have to give more away.
Red flags to watch for
Needless to say, you want to prevent this outcome. You can do so by looking for red flags indicating hidden assets. First, your spouse’s behavior may change. They could act furtively or anxiously. They may start becoming more secretive about their financial information, refusing to let you look at their accounts or receipts even if you did before.
They may also make sudden changes in financial habits. For example, they could buy big-ticket items or begin repaying debts you did not know about. In either case, the goal is to hide money elsewhere and then reclaim it later. If you see these signs and think your spouse is hiding assets, consider contacting legal help for more information.