Pursuing a fair or equitable division of marital property requires an understanding of a couple’s unique marital estate. Sometimes, one spouse may attempt to manipulate financial circumstances for their own gain during a divorce.
Attempts to hide marital property can skew the asset division process to unfairly favor one spouse over the other. People may hide physical assets or financial resources. They intentionally avoid disclosing them to their spouses or the courts in the hopes that they can retain more of the marital estate than they should. In order to hold someone accountable for that kind of misconduct, a spouse has to locate the hidden assets. The following are some of the most common ways that people hide their resources.
By starting secret bank accounts
Some people have a habit of transferring funds into a a separate bank account in their name throughout the marriage. Some people even go so far as to use international bank accounts as a way of further obfuscating financial records. Spouses sometimes need the assistance of a professional, like a forensic accountant, to find hidden resources during a divorce.
By physically moving assets
People planning for a divorce sometimes decide they want to preserve specific property for themselves. They might move works of art, pieces of jewelry, valuable wristwatches, antiques and collectibles to another location. They might transport them to their new residence. They might also acquire a storage unit specifically to hide certain assets. Some people even arrange to have friends or family members store physical property until after a divorce.
By acquiring digital resources
Digital assets ranging from website URLs to more modern types of investment products can be difficult to track. People may take advantage of the lack of transparency with digital assets during a divorce. They could use marital assets to buy digital resources that they do not disclose to their spouse or the courts. They can then convert those resources back to cash after the divorce or hold on to them as long-term investments.
Those in high-asset marriages are particularly vulnerable to the risk of hidden assets. More complex marital estates provide more opportunities to hide resources during divorce proceedings. Taking the time to search for hidden assets during a divorce can potentially help to protect someone from an unfair property division outcome.