Divorce is an emotionally taxing experience, especially when financial abuse has played a role in the relationship. Financial abuse, which can be subtle and often goes unnoticed, involves one partner exerting control over the other’s financial resources. It is a pattern of behaviour. If you are currently going through a divorce or considering one, particularly if your partner has been controlling, it’s important to recognise the signs of financial abuse and understand the steps you can take to protect yourself.
Understanding Financial Abuse
Financial abuse, also known as economic abuse, occurs when one person exerts control over another’s financial independence, often with the intent to isolate, manipulate, or dominate them. It can occur in any relationship but is especially common in marriages where one partner exercises undue control over the other’s access to money, assets, or financial information.
This type of abuse can be subtle and gradually erode a person’s independence and self-esteem, often with the intent to create dependency. The abuser might limit your access to funds, scrutinise your spending, or even withhold basic necessities like food and clothing. Over time, this financial control can make it incredibly difficult for you to leave the relationship or assert your rights during a divorce.
Recognising the Signs
Financial abuse can take many forms, and recognising the signs is the first step towards regaining control over your life. Some common indicators include:
- Controlling Access to Money: Your partner may give you a strict allowance, demand receipts for all purchases, refuse to agree to having a joint account, or refuse you access to joint accounts.
- Excessive Monitoring of Finances: An abusive partner might track your spending, question every transaction, or make you feel guilty for any financial decision you make.
- Interference with Employment: If your partner tries to prevent you from working, turns up unannounced at your place of work, calls you persistently during the working day, sabotages job opportunities, or otherwise makes it difficult for you to maintain employment, they may be attempting to make you financially dependent on them.
- Running Up Debts in Your Name: This could involve taking out loans, credit cards, or mortgages without your knowledge, forcing you to sign documents you don’t fully understand, or signing your name on your behalf with or without your knowledge or consent. Sometimes an abuser will threaten to transfer the household utility accounts into your name and leave you with no resources to pay them such that you are left fearing that essential services will be cut-off.
- Sabotaging Your Financial Independence: Your partner might cancel your credit cards, close your accounts, or refuse to contribute to household expenses, leaving you financially stranded.
- Controlling Joint Assets: When it comes to joint assets, an abuser might try to hide, deplete, or manipulate these assets, making it challenging for you to claim your fair share during divorce proceedings.
What to Do If You Are Experiencing Financial Abuse
If any of these behaviours sound familiar, it is crucial that you take steps to protect yourself, particularly if you are considering or are already in the process of divorce. Here are some actions you can take:
- Seek Legal Advice: The first and most important step is to speak with a solicitor who specialises in family law as soon as possible. They can help you understand your rights, advise you on how to protect your assets, and support you in obtaining a fair financial settlement.
- Document Everything: Keep records of all financial transactions, correspondence, and any instances of financial abuse. This documentation can be vital in court when demonstrating the extent of the abuse.
- Secure Your Finances: If possible, open a separate bank account in your name and begin diverting any income into it. This can provide you with some financial independence as you prepare to leave the relationship.
- Freeze Joint Accounts if Necessary: If you fear your partner may deplete joint accounts or assets, your solicitor might advise freezing these accounts until an agreement is reached. If you cannot unilaterally freeze an account, ask the bank to remove any overdraft facilities, or if necessary, try and secure an additional overdraft facility.
- Obtain a Financial Order: During divorce proceedings, the court can make financial orders to ensure a fair division of the available resources, to include income, capital and pensions. A solicitor can advise you as to the legal remedies available to you.
- Consider an Injunction: In cases where your partner is preventing you from accessing funds or is likely to do so, your solicitor may recommend seeking a court injunction to protect your financial interests. This legal protection can ensure that assets remain available for equitable distribution.
- Seek Support: Financial abuse can be isolating, so it’s important to reach out to trusted friends, family, or a support group. There are also organisations that specialise in helping victims of domestic and financial abuse. In some cases, this type of abuse will constitute a criminal offence and it will be appropriate to contact the police.
Moving Forward
Financial abuse is serious. You do not have to face it alone. A divorce can offer you a path to regaining your independence and securing your financial future and it is important to approach it with the right support and legal guidance. If any of the issues discussed in this article resonate with you, the Family team at Herrington Carmichael is here to help. We understand the complexities of financial abuse and can offer the compassionate, expert advice you need to navigate this challenging time. Please contact us to speak to a member of our Family Team. We can discuss your situation in confidence and learn more about how we can assist you in protecting your financial future.
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