When facing a divorce, many people wonder if it is okay to withdraw funds from a joint bank account before finalizing the proceedings. It is a common question, but the answer is more complex than it may seem. Withdrawing funds from a joint bank account can be seen as an act of bad faith by a judge, which could negatively impact your case. In this blog post, we will explore the factors that should be considered before taking such a step and the advice I give to my clients facing this scenario.
The Problem with Withdrawing Funds Pre-Divorce
Before taking money out of a joint bank account, it is important to understand that judges may interpret this action as an attempt to harm your spouse or manipulate the situation. This could be seen as “bad faith” and may influence how the court views your case.
However, withdrawing funds may be necessary in some situations, and these should be carefully considered. To help navigate these decisions, I encourage clients to provide all relevant details before the withdrawal.
When Withdrawing Funds from a Joint Bank Account Might Be Justified
While it may not be ideal to withdraw all the funds from a joint account, there are certain circumstances where it could be justified:
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- Exigent Circumstances or Emergencies
If there is an emergency and you need immediate access to funds, and it is not possible to go to court on time, withdrawing from a joint bank account could be necessary. For instance, if you are unable to get emergency funds through other means or from your spouse, and there is an urgent need for money (such as medical bills or urgent family matters), this may warrant action.
- Exigent Circumstances or Emergencies
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- Availability of Other Assets
If other assets are available in your case, such as savings, investments, or property, it might be possible to use these instead of withdrawing from the joint bank account. The availability of other assets plays a significant role in determining whether withdrawing from the account is problematic.
- Availability of Other Assets
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- Communication with the Adverse Attorney
If there is an attorney on the other side of the case, it may be possible to communicate with them to secure the funds needed without withdrawing from the joint account. In many cases, an attorney can facilitate obtaining necessary funds without resorting to drastic measures.
- Communication with the Adverse Attorney
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- Court-Ordered Emergency Funds
If the situation is not an emergency, but you still need immediate access to funds, you can go to court and request an order for emergency support or funds. Courts can sometimes provide temporary financial relief, which could be an alternative to withdrawing from a joint account.
- Court-Ordered Emergency Funds
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- Using a Credit Card for Immediate Expenses
Some clients may use a credit card to cover necessary expenses, even if the card is in their spouse’s name. While this can sometimes be a viable option, it depends on the circumstances and the parties’ agreement.
- Using a Credit Card for Immediate Expenses
The Importance of Understanding Your Case’s Specifics
Ultimately, the decision to withdraw funds from a joint bank account depends on the specifics of your case. How much money is in the joint account? What other assets are available? What is the overall financial picture of the divorce? Each case is unique, and it is crucial to consider all these factors before making any decisions.
For some clients, withdrawing all the funds from the account may cause significant problems, especially with limited assets. In such situations, drawing down a joint account without proper planning could worsen your financial situation. On the other hand, withdrawing the funds may not be as detrimental if there are plenty of other assets.
Why You Need Experienced Legal Guidance
These questions can be complex and nuanced, so it is critical to consult with a lawyer with experience handling these situations. An attorney will ask the right questions and gather all the necessary information to provide advice tailored to your case. Divorce is never a one-size-fits-all situation, and decisions should always be based on carefully analyzing your unique circumstances.
Navigating Divorce Financially
Withdrawing funds from a joint bank account before a divorce is a sensitive issue that requires careful consideration. It can be tempting to take immediate action, but it is essential to weigh the potential consequences and explore alternative options first. Whether you are facing an emergency or simply trying to navigate the complexities of divorce financials, a skilled attorney can help guide you through the process.
If you are going through a divorce and need advice about managing joint accounts or any other aspect of your case, David Wildstein is here to help. Divorce can be tough, but with the right guidance, you can make informed decisions that protect your interests. Reach out for a consultation, and we will work with you to ensure you take the right steps at every stage of the process.
Divorce is complicated, but having the right support can make all the difference. Contact David Wildstein today.
