If you are contemplating divorce and are concerned about your spouse taking actions that could negatively affect your financial situation, there are proactive steps you can take to safeguard your financial interests. It’s important to act cautiously and legally to protect your assets, credit, and overall financial security. It’s advisable to seek the advice of legal counsel before making any drastic decisions.

Here are some steps you can take:

1. Gather and Organize Financial Documents

Before making any decisions, collect and make copies of all important financial documents. This includes:

• Bank statements (checking, savings, joint and individual accounts)
• Tax returns (for the last few years)
• Mortgage documents and property deeds
• Investment and retirement account statements
• Loan agreements (car loans, personal loans, etc.)
• Credit card statements
• Business records (if you or your spouse own a business)
• Insurance policies (health, life, home, and auto)
• Pay stubs and employment contracts

Having copies of these records is crucial to establish a clear picture of your finances and to avoid any risk of them being hidden or altered.

2. Open a Separate Bank Account

If you currently have joint bank accounts with your spouse, consider opening a separate bank account in your name only. You can use this account for your personal expenses and savings. However, be mindful not to transfer large sums of money from joint accounts, as this could lead to legal complications later. Instead, focus on establishing your financial independence gradually and transparently.

3. Monitor Joint Accounts

Keep a close eye on any joint accounts or credit lines you share with your spouse. Regularly review the statements to look for unusual transactions, large withdrawals, or transfers of funds. If you notice anything suspicious, make a note of it and keep the documentation for future reference.

4. Check Your Credit Report

Obtain a copy of your credit report to see the full picture of your financial liabilities and any credit accounts in your name or jointly with your spouse. Monitoring your credit will help you ensure that your spouse isn’t taking out loans, credit cards, or making large purchases in your name without your knowledge. You can also freeze your credit to prevent new credit accounts from being opened.

5. Secure Valuables and Personal Property

If you own any valuable personal items such as jewelry, collectibles, or other assets, consider placing them in a safe location. If you believe your spouse might attempt to sell or hide valuable items, it’s wise to inventory and secure them early on.

6. Establish a Budget

Start keeping track of your income and expenses. This will help you assess your financial needs and prepare for living independently if the divorce proceeds. Understanding your budget will also be essential when negotiating alimony, child support, or property division later in the divorce process.

7. Consider Limiting Access to Joint Credit Cards

If you’re concerned about your spouse racking up debt on joint credit cards, you can contact the credit card company and request to lower the credit limit, freeze the account, or convert it into an individual account. Be cautious with this step though, as it may alert your spouse to your concerns, so timing is key.

8. Change Passwords and Secure Digital Accounts

Ensure that all your online banking, email, and other sensitive accounts are secure. Change your passwords if necessary, and enable two-factor authentication where available. This will prevent unauthorized access to your financial or personal information.

9. Stay Informed About Legal Options

Research the divorce laws in your jurisdiction, especially those related to asset division, spousal support, and temporary financial restraining orders. In many cases, the court can issue an automatic financial restraining order upon filing for divorce, which prevents either spouse from selling, hiding, or transferring assets.

10. Document Everything

Keep detailed records of all financial transactions and interactions with your spouse regarding money. This documentation can be useful if disputes arise during divorce negotiations, particularly if you need to prove that funds were mismanaged or hidden.

11. Avoid Drastic Financial Decisions

As tempting as it may be to take extreme measures to protect yourself, such as liquidating joint accounts or moving large amounts of money, avoid making any drastic decisions without first consulting with a lawyer. Courts frown upon attempts to hide or transfer assets in anticipation of divorce, and this can damage your case later on.

By taking these steps, you can protect your finances and better position yourself for the legal process ahead. Once you’ve safeguarded your assets and organized your financial records, it’s wise to consult with a divorce lawyer to guide you through the next steps legally and strategically.