713-333-4430Texas Divorce: Can You Stop a Spouse from Spending Money
From anger to sadness to relief and hope, you experience so many emotions when going through a divorce. And amid all those feelings and, frankly, turmoil, there is a valid concern that starts to rear its head: money.
What if your spouse is spending carelessly, potentially jeopardizing your financial future? Stopping a spouse from spending money isn’t just about taking control. It’s about protecting your financial stability. It’s important to inform yourself of non-legal and legal measures available when one party is demonstrating out-of-the-ordinary or out-of-control spending habits. Consulting a Texas divorce law firm can provide you with the guidance and legal strategies to safeguard your assets and secure your financial future during this challenging time.
Understanding the Texas Community Property System
Foremost, it’s essential to understand Texas’ community property law. All property acquired during a marriage is considered community. Property, in this case, belongs equally to both spouse’s, including income, real estate, and even debt. Therefore, if your spouse is spending recklessly, it’s not just affecting their finances. They’re impacting your finances, too, and if you have children, this can also impact them in the present and in the future in terms of financial support and college savings. It’s important to know that community property also encompasses retirement accounts, investments, businesses, and any earnings or assets accrued during the marriage.
Additionally, Texas courts presume that all property of either spouse during the marriage is community property unless clear evidence is presented to show otherwise. Understanding these laws is critical because they set the stage for how assets and liabilities will be viewed and divided in the divorce process.
Unpacking the Situation and Communicating
Before jumping into legal maneuvers, it’s crucial to understand the context. Are their spending habits new, or have they been hanging around for a while? Have these spending issues been consistent problems throughout your marriage? Are they spending out of spite, or is it a pattern of behavior? Uncovering root causes can aid in determining the heart of the matter and communicate more effectively, potentially finding a solution without escalating to legal action.
As obvious as it may sound, communication is an integral first step. The door to problem solving can often be opened by sitting down with your spouse and expressing your earnest concerns. It’s best to use “I” statements and try to avoid sounding accusatory. For instance, expressing, “I’m worried about our financial future and the impact of our spending habits.” Sometimes, bringing attention to the issue can be enough to initiate change and turn the dilemma around.
Seeking financial counseling
If communication alone isn’t enough to deescalate their spending, sometimes intervening with financial counseling can be. A neutral third party can help moderate conversations around spending while providing educational background and supportive strategies for managing money. Better yet, not only does this step help curb spending, but it also sets the groundwork for a more structured financial future.
Legal Actions for Protecting Your Financial Health
When conversations and counseling aren’t working, then extending your efforts under the domain of the law may become necessary. Legal steps are available to protect financial interests, including but not limited to:
Separating your Finances – One of the primary steps you may take is separating your finances, opening a new bank account in your name only, and redirecting your paycheck and any other income streams and sources there. The action won’t stop your spouse from spending money from joint accounts, but it will protect your future earnings.
Freeze joint accounts – If your spouse’s spending is jeopardizing your financial stability, you can freeze joint accounts and contact your bank to discuss freezing the account to prevent either party from making withdrawals without mutual consent. While this is a temporary fix, it provides immediate protection against further reckless spending and damage to your financial situation.
Temporary restraining orders – In Texas, you can request a temporary restraining order (TRO) to prevent your spouse from spending money. A TRO can include provisions that prohibit your spouse from:
- selling, transferring, or disposing of any property
- spending large sums of money
- making any unusual or unnecessary withdrawals from accounts
Courts typically grant TROs in divorces.
What about Temporary Orders? Temporary orders are another legal tool and form of legal protection one can request during a Texas divorce. These orders can dictate how finances will be handled moving forward until the divorce is completed. You may request temporary orders for any of the following:
- Exclusive use of certain assets like vehicles or the family home
- Temporary spousal support
- Limiting your spouse’s access to certain accounts
Temporary orders are issued after a court hearing, during which each party presents its own arguments. The judge reviews the facts and decides based on the evidence presented.
Financial Restraining – In addition to your TROs, Texas courts also have the power to issue financial restraining orders specifically targeting financial activities, which can be part of temporary orders. They may include:
- prohibiting the sale or transfer of property
- Restricting withdrawals from bank accounts
- Freezing financial accounts
Additional Tips
Documentation is vital! Regardless of the legal actions you decide to take, organized and precise documentation is key. If the situation should escalate, it will be necessary when trying to form and present substantial and sufficient evidence to have proper supportive documentation. Keep detailed records of all financial transactions, including bank statements, credit cards, bills, and any paperwork that may demonstrate your financial situation or its recent decline. Also, gather and preserve forms of communication that concern your individual and joint finances or the irresponsible financial behavior of the other party.
Protect your credit! While dealing with your spouse’s reckless spending, it’s essential to protect your own credit score. Monitoring your credit is important, and regularly checking your credit report for any unusual activities or regularities has to be a top priority. You can get a free credit report from each central credit bureau once per year at AnnualCreditReport.com. Alerting your creditors is another way to be proactive and inform them about the situation. While they might not be able to prevent your spouse from spending, they can offer advice on protecting your credit. Further, consider a credit freeze. A freeze allows you to prevent new credit accounts from being opened in your name without your knowledge and consent.
Legal Help: Securing financial stability during a Texas divorce
It can be daunting, but consulting with an experienced divorce lawyer is pivotal. They will supply personalized advice, help you understand all of the options that you have at present, and assist with filing the necessary paperwork. A skilled divorce lawyer can also ensure that your financial interests are protected from here on out throughout the divorce proceedings. Stopping a spouse from spending money during a Texas divorce involves the combination of communication, legal action, and proactive financial management and strategy by understanding the tools at your disposal and seeking professional guidance, and you can protect your family’s economic well-being. Whether you need to be pointed toward an appropriate mediator, assistance identifying the type of order that best fits your situation, or help gathering and presenting evidence, a trusted divorce attorney is essential. Contact our divorce law firm at 713-333-4430 to schedule a confidential consultation with an experienced Texas divorce attorney.
Attorney Kevin Hunter at Boudreaux Hunter & Associates, LLC has experience with child custody, spousal support, high conflict divorce, and is fully equipped to guide you through the process. Learn more about Kevin on his profile here.
