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Do you suspect asset hiding?

On Behalf of | Feb 27, 2023 | Divorce |

When going through divorce, you will have to deal with asset division. This is often one of the biggest potential hurdles in divorce, especially for childless couples who do not have to worry about custody or visitation.

Some spouses make it even harder, too. They do this by trying to hide assets, which can create a lot of problems.

Digital asset hiding

CNBC discusses ways that a spouse may attempt to hide assets in divorce. First, they may go the digital route. This is a relatively new method that relies on an old-school type of asset hiding.

The spouse will purchase bitcoin or another type of cryptocurrency in bulk. They have the intention of selling their stocks after the divorce gets finalized, thus getting all of that money back without having to share any of it.

This mirrors an older technique, in which a person trying to hide assets will buy expensive, big-ticket items like vehicles, expensive electronics and more with the intent of selling or returning them after the divorce.

Repayment of false debts

Another common technique involves a person repaying a false debt. They will give money to a friend or family member, stating that they owe the person a lump sum. That person will then return the money after the divorce.

Thus, it is important to keep an eye out for the following: suddenly repaid debts, changes in spending behaviors that skew either conservative or superfluous, and reluctance to share financial information. Any of these could indicate a spouse attempting to hide assets.