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Unique financial tactics often used in wealthy abuse cases

On Behalf of | Aug 1, 2024 | Domestic Violence

In Massachusetts, domestic violence cases involving wealthy individuals may include financial manipulation. These tactics control the other person, maintain power, and create dependency. Understanding the intent behind these actions can help professionals, business owners, and their spouses recognize signs of abuse and take steps to protect themselves.

Financial control and restriction

One common tactic is controlling finances. Abusers might insist on managing all financial matters, limiting their partner’s access to bank accounts, credit cards, and cash. They may give an allowance, requiring the other person to justify every expense. This creates financial dependency and makes it more difficult for the sufferer to leave the abusive relationship.

Concealing assets

Abusers often hide assets to prevent the other person from accessing funds. This can include transferring money to secret accounts, purchasing assets in the abuser’s name only, or hiding cash. Wealthy individuals might use complex financial instruments like trusts or offshore accounts to conceal assets. This makes it challenging for the former spouse to prove their existence during legal proceedings.

Interfering with employment

Interfering with the other person’s job is another method of control. The abuser may sabotage their partner’s work by causing them to miss important meetings or deadlines, harassing them at work, or convincing them to quit their job. This reduces their spouse’s financial independence and makes it harder for them to leave the relationship.

Coercing financial decisions

Abusers may coerce their partners into making financial decisions that benefit the abuser. This can include pressuring their spouse to sign financial documents, take on debt, or make large purchases. Those enduring this behavior may believe these decisions are in their best interest when instead, they increase the abuser’s control.

Recognizing and addressing financial abuse

It’s important for those in high-net-worth communities to recognize and resist financial manipulation tactics. Financial education and support networks can help those affected regain control over their lives and break the cycle of abuse.