What Happens to Savings Account When You Separate or Divorce?

In Ontario, it’s common for each spouse in a marriage to own property, including “bank accounts”, and debts in their own name. Entering into marriage with pre-existing assets, such as a robust savings account balance, does not automatically mean these assets become “joint accounts”. This remains separate property, solely belonging to the named spouse. For example, if one spouse enters the marriage with a considerable savings balance, these funds are considered a ‘date of marriage’ deduction. This reduces their “net family property” on separation, which might impact the “divorce process”. Net family property measures the financial progress or gain made during the marriage, from the date of marriage to the date of separation. Any significant value increase in a spouse’s assets is considered “community property”, subject to division or equalization. It’s crucial to note that not all separation or divorce proceedings result in the redistribution or equalization of the spouses’ property. The “dividing assets” process largely depends on the “parties involved” and their “financial goals”. You and your spouse may opt to maintain “separate accounts” and keep your assets untouched. Regardless of the decisions made, financial disclosure is a crucial step during the divorce process. Keeping accurate records of each spouse’s financial position at the date of marriage and date of separation greatly aids in calculating the net family property. Bear in mind that this information can be complex, and it’s often wise to consult with “divorce lawyers” or “financial experts”. Understanding these aspects of marriage and divorce is essential, whether you’re opening a “joint bank account”, considering a “prenuptial agreement”, or navigating a “divorce settlement. Records of your and your spouse’s financial position at the date of marriage and date of separation, will help greatly with calculating the net-family property.

Your savings account records/statement will be required to satisfy financial disclosure and informed consent requirements while negotiating a divorce/separation settlement.

Savings Account Statement Your Savings Account Report offers you a monthly view of your account. It contains your interest charged, your balance, your investments, and any interest received during the reporting period. There are several forms in which you can get your Savings Account statement with the financial disclosure criteria; several of these forms are normally fast and easy to obtain and fill out. Mail The bulk of deposit-taking organizations submit the monthly statements via fax. The paper document includes the applicable account documents, such as balance, expenses, and the amount of interest received. These statements are made accessible on the same day per month, so if you haven’t collected yours by this date, please contact your financial institution for a copy. It is always necessary to contact your financial institution whenever your address changes so that you can make sure that you collect your statements at the new address. E-Statements Some financial institutions offer an electronic way of delivering your statement instead of paper. Instead of delivering a written letter to you, the financial firm would deliver an email to the address you choose. The email may contain a statement as an attachment or link to access the statement online. The e-statement shall include the same material as the paper declaration. Online Banking Online You can download your present and past accounts electronically when you sign up for electronic banking through a financial institution. You sign on to the lender’s site using the username and password of your preference. Normally, while on the web, you choose the “Preview Statements” button, and a list of relevant statements should appear on the page. You press the one you want to view and open it in a new browser, which is often available as a .pdf format. You can read, print, or transfer the file to a hard disk at this stage. In-Person When everything else fails, you should go to the address of the financial firm and order a copy of the document. Because of privacy rules, you may need to have an ID to show that you are indeed the account holder. So, after your name has been checked by the representative, they will print a copy for you. While you are there, it’s a smart idea to test the delivery system for your statements and adjust them to match your preferences better.