Divorce is often complex, both legally and emotionally. However, the process can be made more difficult by hidden assets.
Some divorcing spouses will attempt to decrease their soon-to-be ex’s share of assets by hiding them. It goes against the principles of community property law in California, which states that spouses share marital assets evenly. No matter what state a couple is in, however, they’re obligated to disclose all assets in divorce.
Here are some signs that your spouse may be hiding assets from the court (and you).
Sudden changes in spending
If your spouse suddenly adopts new financial behaviors, it might indicate that they’re hiding assets. Be aware of frequent withdrawals or large transfers between accounts. Closing joint accounts and opening new individual accounts without clear reasons can also be a warning sign.
You have a right to access joint accounts and see financial statements. If statements stop coming to your address or email accounts, your spouse may have redirected them to hide key information.
Unexplained decrease in income
A sudden drop in your spouse’s reported income may signal hidden assets. If they own a business, they may falsify reports to suggest poor performance or unexpected salary reductions.
Also, if your spouse claims debts to friends or family members you’ve never heard about, this could be an attempt to hide assets as fabricated debts.
Guarded responses on finances
Secrecy about financial matters is another significant indicator. If your spouse becomes protective or defensive when you ask about financial activities, they might be hiding something. Frequent password changes on financial apps, accounts or devices are also warning signs.
Be wary if your spouse acquires expensive items such as artwork, jewelry, or collectibles without clear explanations. Assets like these can be undervalued or overlooked during property division.
You deserve a fair divorce settlement and an efficient legal process. Having experienced legal guidance can help you obtain these outcomes.