Going through a divorce in Fort Wayne is often emotional, especially when it involves dividing assets and property.
Unfortunately, in some cases, one spouse may attempt to hide assets to gain an unfair advantage.
Unexplained financial changes
Financial stress may play a significant role in just 10% of divorces, but some spouses try to hide assets to help them financially after divorce. If your spouse suddenly exhibits unexplained fluctuations in financial behavior, it could be a red flag. Watch for unusual withdrawals, transfers or expenditures that seem out of the ordinary.
Overly complex financial transactions
Complex financial transactions, such as creating offshore accounts or using shell companies, may suggest an attempt to hide assets. These tactics can make it difficult to trace funds accurately.
Concealing income
A spouse may underreport income or delay receiving bonuses, commissions or raises until after the divorce becomes final. This can reduce the spouse’s apparent financial worth during negotiations.
Transferring assets to third parties
Be cautious if your spouse starts transferring assets to friends, family members or business associates without a clear reason. This may be an attempt to keep those assets out of the divorce settlement.
Mysterious debt accumulation
Excessive debt accumulation, especially when it is not consistent with your spouse’s usual financial habits, could indicate an attempt to reduce apparent net worth.
Incomplete financial disclosure
Your spouse may fail to provide complete financial documents or records during the divorce process. Missing documents can make it challenging to assess the true value of assets.
Off-balance financial statements
Review financial statements closely. Discrepancies or irregularities in account balances, assets or debts could indicate efforts to hide assets.
Hidden assets in property transactions
Keep an eye on property transactions, such as real estate sales or purchases, that occur without your knowledge. These transactions may involve hidden assets. Carefully review tax returns for omissions or inaccuracies that might hide income or assets.
Also, if your spouse suddenly downsizes his or her lifestyle, claiming a reduced income while maintaining the same standard of living, it may raise suspicion about hidden assets. Similarly, if your spouse becomes secretive about bank accounts, investments or other financial instruments, it could be a sign that something is amiss.
