If you are going through a high-asset divorce, especially if there is a lot of animosity and conflict, there is a risk that your spouse could try to hide assets. The court will require them to disclose everything that they own, but that does not mean they will be entirely honest when they do so.
This could happen if your spouse is trying to avoid dividing those assets with you. If the two of you have a joint bank account, the court may order that you each get 50% of it during property division. But if your spouse already transferred half of the funds out of that account prior to the divorce, then you are really only getting 25% of the total.
Potential tactics for hiding assets
Taking money out of an account is just one way that people try to hide assets. Some of the most common tactics include:
- Making up debts that do not actually exist
- Giving away money to people who will give it back after the divorce
- Putting assets in the name of a friend, a family member or even a child
- Overpaying certain bills, such as tax obligations, in order to get a refund after the divorce has been finalized
- Lying about the value of assets or intentionally undervaluing them
Your spouse may simply try to hide money in locations you are unaware of. One example of this could be transferring money into overseas bank accounts, while another could simply be taking cash and storing it in a safe deposit box.
Are you worried that your spouse may try to hide assets as you approach divorce? If so, it is critical that you understand all of your legal options and your rights.