Separation and divorce

Imelda

This isn't about me but my parents, they (legally/ officially) separated about 13 years ago but never divorced. It's all quite amicable now and they both have new partners but I am wondering what the financial implications are.
My mum is useless with money (worse than me even), is thousands in debt (no idea exactly how much, but my guess is more than £20,000) and her partner is just the same.
My dad on the other hand is a saver, he has paid off his mortgage and has plenty of money stashed away for retirement. His partner is also financially solvent.

I am worried that my mum's debts will ultimately affect my Dad, will their "assets" be split 50/50 if they do divorce? It's not my parents I am worried about per se but my mum's partner, I am a bit wary of him and his intentions and I would like to protect my family as much as possible.

Many thanks

Bossyboots

This is a tricky one as there is no order preventing either party from claiming against the future wealth of the other so technically your mum could claim a share of your dad's savings.

The best solution would be to agree a settlement based on what their financial positions were when they separated but really, you dad needs to get some proper advice to go through facts and figures with a solicitor who can advise once all the details have been presented. I think your mum would be hard pushed to persuade a court that she should be able to claim on what your dad has built up since they split up, particularly if your dad can say that she is bad with money and that she not actually in difficulties because of the split, but because she simply doesn't handle her money properly.

It is not a question of splitting 50/50, that concept is only a starting point, but your parents' position could get very complicated and your dad should seek some advice before he builds up an even bigger nest egg and puts some of that at risk.

mountainofdebt

the other thing to think of (from your dad's point of view) is has he made a will?

I don't know if I'm right but I would have thought that if he hadn't and died then the rules of intestacy would apply and your mum (as his spouse) would be entitled to a fairly large sum of money.

Bossyboots

mountainofdebt wrote:

the other thing to think of (from your dad's point of view) is has he made a will?

I don't know if I'm right but I would have thought that if he hadn't and died then the rules of intestacy would apply and your mum (as his spouse) would be entitled to a fairly large sum of money.

Yes, that's absolutely right.

ginger_nuts

I know off a couple who seperated but didnt divorce .He met a new partner and they lived together .he made a will leaving whatever ? to his new partner .
He was about 50 when he got cancer and died .His wife went to court and got the will overturned . I think you cant disinherit your legal wife .
If either off your parents took ill ,who would be the legal next off kin ?
If your father died would your mother be intitled to his pension ?

Imelda

Thanks for all your replies. My Dad is moving in the summertime, I think I will advise him to use that opportunity to sort everything out with a solicitor. The pension is a tricky one as my mum gave up work to raise the family and so was not contributing to NI or a personal pension for about 18 years, I'm sure my Dad will make some provision for this as he is a reasonable man. I think that if he has made a will my mum will honour it as she would not want to upset myself or my siblings by contesting it.

Thanks again!

jockettuk

Imelda wrote:

Thanks for all your replies. My Dad is moving in the summertime, I think I will advise him to use that opportunity to sort everything out with a solicitor. The pension is a tricky one as my mum gave up work to raise the family and so was not contributing to NI or a personal pension for about 18 years, I'm sure my Dad will make some provision for this as he is a reasonable man. I think that if he has made a will my mum will honour it as she would not want to upset myself or my siblings by contesting it.

Thanks again!

Familys and money dont always go the way it should when a death occurs.. as you have said they are in debt.. she might be convinced by her new partner or others to go for the money ive seen it done, its torn familys apart.. i think the simplist thing would be to go for a divorce after 13 they have no financial ties to each other.

Imelda

I think you're right jockettuk, don't know how I am going to approach this subject with my parents though! I think I might suggest it to my dad, I'm sure he will see the sense in what I am saying and he can put it to my mum that while he is using a solicitor to buy his new home they may as well get a divorce. The £500 it will cost him now could end up saving him a lot in the long term. My mum's partner knows all the tricks though (multiple divorces) and I am sure he will put his tuppence worth in, hopefully it can all be sorted out fairly painlessly.

SamMoffatt28

I would have thought that if they were legally seperated i.e done through a solicitor, then their finances would be completely seperate from that date especially as (I assume) they no longer live together. I could be wrong but that's what I thought a legal seperation was.

Bossyboots

SamMoffatt28 wrote:

I would have thought that if they were legally seperated i.e done through a solicitor, then their finances would be completely seperate from that date especially as (I assume) they no longer live together. I could be wrong but that's what I thought a legal seperation was.

It is possible to still make a claim even if they are divorced if there is no financial settlement order in place. This would apply for example if some years after the divorce one party wins or inherits a large sum of money. Each case is taken on its merits in relation to any claim but it is possible to do it.

If they are formally separated, with a properly finalised separation agreement, then the issue in relation to the will shouldn't apply but the dad should double check his position overall.

Imelda, I am not sure where you get the figure of £500 from in relation to costs. Also, a solicitor handling conveyancing is unlikely to be an expert in family law so your dad should make sure he sees someone in that firm who handles this type of case all day every day.

busby1_2

you cant do much about the pention, but the house is something else, if your dad is moving, the new house can be bought in someone elses name, like hes new partner (depends on the trust between them) or even your name, change it back after the divorce...