Bank Witdrawals

[Sokols]

CA - Husband and I legally separated in Jan 09. Last June 08 he decided to open separate bank accounts on grounds that he was anticipating a divorce. We were not separated till Jan 09. Isn't the monies in our separate accounts up to that point community property even though joint names were not on the accounts? The money has not be divided or split and he is withdrawing cash at a very fast rate. He says he doens't have any money and is unable to pay mortgage payments.

[mistoffolees]

Originally Posted by Sokols

CA - Husband and I legally separated in Jan 09. Last June 08 he decided to open separate bank accounts on grounds that he was anticipating a divorce. We were not separated till Jan 09. Isn't the monies in our separate accounts up to that point community property even though joint names were not on the accounts? The money has not be divided or split and he is withdrawing cash at a very fast rate. He says he doens't have any money and is unable to pay mortgage payments.

It depends on where the money came from. If it was from salaries, it is probably joint. If it's from an inheritance or something like that, it may be separate. At the time that you file for divorce, his income starts to become separate property.

He is permitted to withdraw marital funds for normal living expenses and for legal expenses. So there's nothing wrong with using marital funds for mortgage payments on marital property.

[Sokols]

He is not paying any bills with this money except his car payment. He is withdrawing cash to put it away and get rid of it. I bleieve that from 1/6 on that money is his alone, but prior to that it should be joint even if my name is not on it. Correct. When the divorce is settled will I be credited for 1/2 that original amount?

[CourtClerk]

Actually, in CA the date of separation would be the actual date he left the home.... not necessarily the date of adjudication of legal separation. However, he should just file for divorce.

[Sokols]

WE are both still living in the home. He bought a car for $70K last year my name is not on that paperwork. Is that car also my debt to pay. He thinks I should pay 1/2 of that monthly bill? Am I obligated legally to have to pay for that payment.? He will not split any of the other bills with me including the mortgage payment unless I do so. He won't pay any of my son's tution either? Also when the divorce is final will the car be 1/2 my debt and also 1/2 my asset. It's already depreciated $20K in a year How will that be calculated, but the cost - the debt or by the current market value. Will I get credit for the $30k we put down together to buy the car initially?

[Zigner]

Originally Posted by Sokols

WE are both still living in the home. He bought a car for $70K last year my name is not on that paperwork. Is that car also my debt to pay. He thinks I should pay 1/2 of that monthly bill? Am I obligated legally to have to pay for that payment.? He will not split any of the other bills with me including the mortgage payment unless I do so. He won't pay any of my son's tution either? Also when the divorce is final will the car be 1/2 my debt and also 1/2 my asset. It's already depreciated $20K in a year How will that be calculated, but the cost - the debt or by the current market value. Will I get credit for the $30k we put down together to buy the car initially?

The car is 1/2 yours. - California, what a state!

[LdiJ]

Originally Posted by Zigner

The car is 1/2 yours. - California, what a state!

The car is 1/2 hers, but even in CA, if he keeps the asset, he also keeps the debt associated with the asset. So if he is keeping the car, she should not be responsible for 1/2 of the debt.

[LdiJ]

Originally Posted by Sokols

WE are both still living in the home. He bought a car for $70K last year my name is not on that paperwork. Is that car also my debt to pay. He thinks I should pay 1/2 of that monthly bill? Am I obligated legally to have to pay for that payment.? He will not split any of the other bills with me including the mortgage payment unless I do so. He won't pay any of my son's tution either? Also when the divorce is final will the car be 1/2 my debt and also 1/2 my asset. It's already depreciated $20K in a year How will that be calculated, but the cost - the debt or by the current market value. Will I get credit for the $30k we put down together to buy the car initially?

If he keeps the car, you should get credit for 1/2 of any actual equity in the car. That would be today's fair market value minus the loan balance.

[Zigner]

Originally Posted by LdiJ

The car is 1/2 hers, but even in CA, if he keeps the asset, he also keeps the debt associated with the asset. So if he is keeping the car, she should not be responsible for 1/2 of the debt.

Agreed - wasn't really commenting on that