What is Financial Abuse?
When one spouse runs the finances for the family
Divorce is often thought of in terms of emotional betrayal, affairs, or irreconcilable differences. But for many spouses, particularly those who were financially dependent during the marriage, the most damaging form of control happens quietly, behind closed doors. Financial abuse is a real and serious issue in marriages and it frequently comes to light when one spouse begins considering divorce.
In New York divorce cases, financial abuse can affect everything from access to legal representation to temporary support, equitable distribution, and long-term financial stability. Understanding what financial abuse looks like, how it impacts a divorce case, and what legal protections are available can help individuals take informed and empowered steps forward.
What is Financial Abuse?
Financial abuse occurs when one spouse uses money or access to financial resources as a tool for control of the other spouse. Unlike physical abuse, it is often subtle and can exist for years without being labeled as abuse at all. Many spouses don’t even realize what they are experiencing has a legal name until speaking with a divorce lawyer, or friends who have been in a similar situation before.
Financial abuse may include restricting access to bank accounts, refusing to share financial information, controlling all household spending, forcing a spouse to account for every dollar spent, or even turning cards on-and-off without notice to the other spouse. In some cases, one spouse may even prevent the other spouse from working, sabotage employment opportunities, or use threats related to money to maintain control (have you ever heard “You’re cut-off!” before?). Others may accumulate debt in the other spouse’s name, hide assets, or withhold funds needed for basic necessities.
In a divorce context, financial abuse often escalates. A controlling spouse may cut off access to joint accounts, stop paying household expenses, or use money as leverage to pressure the other spouse into unfavorable agreements.
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Why Financial Abuse Often Goes Unnoticed
One of the reasons financial abuse is so pervasive is because it is frequently normalized within marriages. Traditional household roles, particularly where one spouse earns significantly more than the other or manages the family’s finances, can blur the line between financial responsibility and financial control.
Many spouses believe they “shouldn’t complain” because bills are paid or because the other spouse is the primary breadwinner. Others may feel embarrassed or ashamed to admit they do not know the specifics of their household finances. But, over time, this imbalance can erode confidence and independence, leaving the financially controlled spouse feeling trapped.
When divorce becomes a possibility, that lack of financial access can feel paralyzing and limiting. Questions arise about how to pay for an attorney, how to support themselves during the case, and whether leaving the marriage is even financially possible.
Financial Abuse and Divorce in New York
New York is a no-fault divorce state, which means a spouse does not need to prove abuse to obtain a divorce. However, financial abuse is still highly relevant to how a divorce unfolds, particularly when it comes to temporary relief and financial fairness.
Courts in New York are concerned with ensuring that neither spouse is unfairly disadvantaged during the divorce process. When one spouse controls the money, judges have tools to restore balance and prevent financial coercion from influencing the outcome of the case.
Financial abuse may factor into decisions regarding temporary support, access to marital funds, counsel fees, and equitable distribution of marital property. While it does not automatically entitle a spouse to a greater share of assets, it can influence how courts structure financial protections and responsibilities during the divorce proceedings.
Access to Money During the Divorce
One of the most immediate concerns in financially abusive marriages is access to funds once a divorce is filed. A spouse may fear that filing for a divorce will result in being cut-off financially. In New York, this concern is recognized and the courts have provided mechanisms to prevent it.
A spouse who lacks access to marital funds can seek temporary maintenance, child support if applicable, and interim counsel fees. The goal is to allow both parties to participate meaningfully in the divorce without one spouse using money as a weapon.
Temporary orders can require the higher-earning or controlling spouse to continue paying household expenses, provide financial support, or contribute toward legal fees. These orders are not punitive. Rather, they are designed to maintain stability and fairness while the divorce is pending.
Counsel Fees and Power Imbalances
Financial abuse frequently shows up in disputes over legal fees. A controlling spouse may assume the other spouse cannot afford to pursue the case or will be forced to accept an unfair settlement due to lack of resources.
New York courts take this issue seriously. Judges may order the monied spouse to contribute to or fully cover the other spouse’s legal fees, particularly where there is a clear imbalance of power and access to funds. The purpose is not to punish, but to level the playing field.
In cases involving financial abuse, documenting financial control and lack of access can be critical when requesting counsel fees. Courts want to ensure that one spouse is not effectively silenced because they cannot afford representation.
Equitable Distribution and Hidden Assets
New York follows an equitable distribution model, meaning marital property is divided fairly, though not necessarily equally. Financial abuse can complicate this process, especially when one spouse has historically controlled accounts, investments, and financial records.
In some cases, financial abuse includes hiding assets, underreporting income, or transferring funds without the other spouse’s knowledge. When this occurs, attorneys may use financial discovery tools, subpoenas, forensic accountants, and court orders to uncover the full marital estate.
If a court finds that one spouse intentionally concealed or dissipated assets, it may consider that behavior when determining equitable distribution. Transparency and full disclosure are legal obligations in a New York divorce, and violations can carry serious consequences.
Employment Control and Earning Capacity
Another common aspect of financial abuse is interference with a spouse’s ability to earn income. This may include discouraging education, preventing employment, or insisting that a spouse remain financially dependent for the sake of the family.
When determining maintenance, New York courts consider each spouse’s earning capacity, not just current income. If one spouse’s career was intentionally limited or derailed during the marriage, that history may be relevant when assessing financial support.
Maintenance is designed to help a spouse achieve financial independence where possible, particularly after long-term marriages or where one spouse sacrificed career opportunities for the household. Financial abuse does not disqualify a spouse from receiving support. Actually, in many cases it can underscore the need for it.
Emotional Impact of Financial Abuse
The effects of financial abuse extend far beyond bank accounts. Many individuals emerge from financially controlling marriages feeling anxious, disempowered, and uncertain about their ability to survive independently. These emotional impacts often surfact during divorce proceedings.
It is not uncommon for financially abused spouses to doubt their own judgment, fear retaliation, or feel overwhelmed by the legal process. A supportive legal team can play an important role in restoring confidence by providing clarity, structure, and advocacy.
Understanding that financial abuse is real and legally relevant can be a powerful first step in reclaiming control.
What Should I Do If I’m Experiencing Financial Abuse?
If you believe you are experiencing financial abuse, documentation is critical. Gathering copies of tax returns, bank statements, credit card statements, retirement account information, and loan documents can prove to be invaluable during your litigation. Even partial records can help provide context to attorneys, allowing them to start assessing the situation and consider whether court intervention may be necessary.
Opening a separate bank account, monitoring your credit report, and consulting with a divorce attorney before announcing your intentions to separate can help protect your financial interests as well. Safety planning may also be appropriate if financial abuse is accompanied by threats or other controlling behavior.
Legal guidance early in the process can make a significant difference in outcomes and peace of mind, don’t wait! Speak with our office today to discuss any potential financial abuse considerations in a divorce.
Moving Forward with Knowledge and Support
Financial abuse thrives in silence and imbalance. Divorce, while difficult, can also be an opportunity to regain financial autonomy and security. New York law provides mechanisms to protect spouses from financial coercion and ensure fair participation in the divorce process.
If you are considering divorce and believe financial control has played a role in your marriage, you don’t have to go it alone. Understanding your rights is the first step toward reclaiming stability and independence.
An experienced New York divorce attorney, such as our office, can help you assess your situation, secure necessary financial protections, and advocate for a fair resolution that reflects both the financial realities of your marriage and your future needs. Contact our office today to get started fighting for what’s most important to YOU.
