Collaborative divorce offers a path to a civil separation, but it relies heavily on trust. In Tennessee, this process can become complicated when hidden assets or financial misconduct come into play.
While collaborative divorce aims to foster open communication, your spouse could try to hide wealth or engage in financial deception.
What are some financial red flags during a collaborative divorce?
As you go through the collaborative divorce process, be aware of potential red flags that might indicate hidden assets or financial misconduct. Your collaborative team can help you identify and address these concerns:
- Unexplained cash withdrawals or transfers
- Sudden changes in spending habits
- Mysterious new accounts or investments
- Discrepancies between reported income and lifestyle
- Deliberately undervaluing assets
- Overstating debts or expenses
- Hiding income or revenue streams
The goal of collaborative divorce is to maintain open communication and work together towards a fair resolution. Financial deception can impact the fairness of your divorce settlement.
The impact on your divorce
These actions can have far-reaching consequences on your divorce. Consider:
- Erosion of trust within the collaborative process
- Potential breakdown of negotiations
- Unfair distribution of marital assets
- Increased time and costs to resolve disputes
- Possible transition to litigation if issues cannot be resolved collaboratively
While collaborative divorce can promote transparency, it is still important to be wary of hidden assets and financial misconduct. It can be helpful to look out for these concerns and raise them with your legal team. This can help ensure a fair resolution to your divorce.