When divorce is in the air, spouses might attempt to hide assets before the papers are ever even filed, hoping the financial movement will go on entirely unnoticed. In some cases, this dishonest tactic can work. That is why you should be aware of the red flags to look out for to ensure your spouse does not successfully plot to hide assets in an effort to rob you of what would otherwise be partially yours.
Of course, not every spouse is out to swindle the other. That said, cultivating an awareness of what to look out for is still your best defense. Here are some of the common ways in which your spouse might hide assets in a divorce:
- Transfer assets: This is not a terribly sophisticated way to go about hiding assets, but if you are not paying attention, your spouse can get away with transferring assets from your joint account to an individual account. Be aware of your finances to prevent this from happening to you.
- Transferring assets to friends: Your spouse might gradually transfer assets to a friend from an individual account to keep them sheltered from divorce proceedings. If you are not looking for it, you can easily miss this as well.
- Lending money to family: Another way in which one might temporarily shelter assets is by lending them to a family member or even a close friend. He or she will hold onto it until the divorce has been finalized, preventing the court from fairly dividing them, and then pay back the so-called loan to your spouse.
- Fake expenses: When businesses are involved, this is a common tactic used to hide assets. It can be written off a person’s income and reflects less profit on a tax return. This can reap serious consequences and is a form of tax fraud.
- Delaying receipt of payment: If your spouse is expecting a big commission or payment, but the money is nowhere to be found, he or she might be delaying it to avoid having it split in the divorce settlement.
Property Division Lawyers in Jackson MS
When you decide to move forward with a divorce, you have to take certain measures to protect your interests, especially when it comes to your finances. At Shows & Smith Law Firm PLLC, we understand the importance of keeping property you care about and will work with you to ensure you are able to reach a fair and satisfactory settlement. Our Jackson legal team has experience representing clients from diverse economic backgrounds and are prepared to handle any challenge that might arise.
Contact us today at (601) 809-4144 for a free initial consultation.