Even when a couple strives to save their marriage, sometimes their efforts are simply not enough. In these situations, divorce is necessary. One of the biggest myths surrounding the dissolution of a marriage in Alabama and elsewhere is that the money in a spouse’s own bank account will remain his or hers following the divorce.
Before getting divorced, some spouses decide to stash money in bank accounts bearing their names only. The goal of doing this is to avoid losing this money during the divorce. However, in reality, their future exes may be entitled to a portion of the funds in their accounts.
Whether a future ex will receive money from one’s account will depend on multiple factors, such as how the funds were earned. Other factors include whether the money was inherited and whether one lives in a community property state or an equitable distribution state. Alabama is an equitable distribution state, and all marital assets must be divided in an equitable, or fair, fashion, with the money not always being divided equally. Thus, a judge may decide that the money stowed in one’s own account belongs to a future ex as well.
Divorce can be a complicated process, particularly when spouses cannot see eye to eye on matters such as asset division. However, an attorney can help with navigating such issues in an effort to secure a fair share of assets at the negotiation table. If this is not possible, the attorney will help with pursuing a personally favorable outcome in family court.
Source: wisebread.com, “4 Myths About Divorce and Money, Debunked“, Dan Rafter, July 11, 2017