How can you protect your finances during divorce?

Private: How can you protect your finances during divorce?

How To Protect Your Finances During Divorce

Some clients who visit the law firm are afraid that the instant they inform their spouse they want a divorce, their husband or wife will clean out their bank accounts, run up the credit cards and wreak havoc on their finances. While you may have heard horror stories about such behavior, no one has to take this gamble.

You can and should protect your assets by getting an attorney involved early in the divorce process, and ideally you are the first to file the divorce petition. Arizona divorce laws recognize that emotions are high when a divorce is initiated and the couple’s finances need to be protected. If you fear your spouse’s reaction to the news of a pending divorce may be vengeful (or you simply don’t want to take the risk) talk to an experienced divorce attorney before talking to your spouse.

Your attorney will file a Petition for Divorce with the court. This document notifies the court and your spouse, when served, that you want the court to end your marriage. It also lists what you are asking for, such as child custody, child visitation, child support, spousal maintenance (alimony), property division, attorney’s fees and costs.

However, the most important effect of filing for divorce is that a preliminary injunction is immediately ordered by a court of law. A preliminary injunction is a court order blocking you and your spouse from draining bank accounts, changing insurance beneficiaries, removing your name from joint accounts, changing property ownership, taking the children out of state, or any other action that can do harm to the other party. The injunction goes into effect the moment the petition is personally served on the opposing party. By being immediately blanketed by the court’s mandated injunction, volatile spouses are lawfully prevented from seeking to backdoor the community assets, or to seize or hide community property.