Preparing for Divorce in Mississippi: Step 7 – Make an assessment of your financial accounts
Step 7 – Make an assessment of your financial accounts
If you have completed the previous steps, you have a good idea of what financial accounts exist and their balances. Now you need to make a decision as to what to do with them.
Unfortunately, once divorce proceedings are initiated, one spouse may raid the bank accounts. There is an old adage that it is much better to beg from forgiveness than ask for permission. When it comes to raiding the financial accounts in anticipation of a divorce, you are better off not following that advice. Don’t raid the accounts.
You and your spouse both need money to survive. And for most, you have children to support. Everyone needs money during the Mississippi divorce process in order to pay bills. Additionally, there is enough conflict in divorce without creating any unneeded conflict. Raiding financial accounts will surely create a lot of conflict. Further, in a Mississippi divorce, decisions are made either by you and your spouse agreeing or by the chancellor deciding those issues you cannot agree upon. If you drain your financial accounts, you will rightfully put your spouse on the defensive and create a lot of unnecessary conflict. Second, your actions will not bode well with the chancellor who will be making the decisions you and your spouse cannot make.
So what do you do? It is a judgment call. You know your spouse best. If you anticipate your spouse will be vindictive once divorce proceedings are initiated, then you need to protect you and your children. This means ensuring you will have enough money to survive until such time as a chancellor can enter an order regarding support or you and your spouse can agree on your finances. Again, I’m not advocating emptying your bank accounts. Your spouse will also need money to pay bills and you do not want to explain to a chancellor why you emptied the bank accounts leaving your spouse and/or your children without money to live.
If you can leave the money where it is, that is the best situation. Before you take any action, I advise you to exercise step 1 of our series—get a wise advisor. Your lawyer can advise you best once they are aware of all the facts.
Finally, if you do transfer any money to a separate account, document carefully every penny you transfer as well as every penny you spend. You will need to account for it at some point in the divorce.
