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Financial infidelity in gray divorces

On Behalf of | May 18, 2023 | Divorce

In recent years, the term “gray divorce” has become increasingly common in Texas. This refers to divorces that occur after age 50, often among couples who have been married for many years. While many factors can contribute to gray divorces, one issue that is often cited is financial infidelity.

Financial infidelity

Financial infidelity occurs when one spouse hides financial information from the other, engages in secret spending or unilaterally racks up debts. This can include hiding bank accounts or credit cards, taking out loans without the other spouse’s knowledge or making high-ticket purchases without consulting the other spouse. In some cases, financial infidelity can even involve gambling or other destructive financial behaviors.

Impact of financial infidelity

The impact of financial infidelity can be devastating for a marriage, particularly later in life. Couples who have been married for many years may have accumulated significant financial assets, and the discovery of financial infidelity can lead to a breakdown in trust and a sense of betrayal. This can make it difficult for couples to move forward and may lead to divorce.

In many cases, the spouse engaged in financial infidelity may attempt to hide assets or downplay their true financial situation during the divorce process. This can make it difficult for the other spouse to secure a fair settlement and lead to prolonged litigation.

To avoid financial infidelity, couples need to communicate openly and honestly about their finances. Sharing information about bank accounts, investments and debts can ensure an open channel of communication. Couples should also establish clear financial goals and work together to create a budget and manage their finances.

Dealing with financial infidelity

Financial infidelity can be a major factor in gray divorces, leading to relationship breakdown and contentious litigation. To avoid the impact of financial infidelity, couples should strive to achieve a mutually beneficial solution that will allow both parties to restart their lives constructively.

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