When going through a divorce, asset division may serve as one of the most difficult and contentious parts.
Unfortunately, a spouse may sometimes make this even harder through acts like hiding assets. But what exactly is this? How may a spouse attempt to carry it out, and what should a person know about it when going into a divorce?
Asset transfer
Survive Divorce talks about asset hiding attempts. People have tried to hide assets for as long as divorce has made asset division mandatory, meaning there are plenty of established ways along with new ones to keep an eye out for.
Classic techniques often involve transferring one form of asset into another. For example, a spouse may suddenly start buying expensive electronics, jewelry, outfits, cars and so on. They intend to sell it and make all of that money back after the finalization of the divorce.
False payments and repayments
Business owners also have a history of creating fake employees to “pay”, then pocketing the money in a way that keeps it out of divorce division. Along those lines, some people say they must repay a debt to a friend or family member, with the intention of getting the money back after the divorce.
Digital wallets
In more recent years, people have also started hiding assets digitally. They will purchase cryptocurrency like bitcoin in a way similar to buying expensive electronics or cars. They then let this money continue to generate wealth after the divorce, or they cash it out.
Whatever the attempt is, any asset hiding is illegal in a court of law. If you suspect your spouse of doing this, you should consider taking action.