Divorce Process: Financial Settlement

A female hand using a calculator working out the cost of a divorce financial settlement
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Throughout a marriage, an abundance of shared funds, property, and other assets will be accumulated. This can be helpful in regards to making finances more manageable, applying for loans or mortgages and tax benefits, but it means a financial agreement will need to be established to divide assets fairly.

A financial settlement is where divorcing or divorced couples decide how the marital assets will be divided up. On this page, we’ll cover the various aspects of a financial settlement you need to be aware of, and what the process is for couples who agree or disagree to the proposed division.

How to Get a Financial Agreement in a Divorce

If you and your ex-partner can agree on how any shared money and property should be divided, you can usually do so out of court and avoid the expense and hassle of a hearing. It’s always a good idea to seek the advice of a divorce lawyer at this point to establish what you’re entitled to.

Also, if you want to make your financial settlement legally binding, you can ask your family lawyer to draft up a consent order. The draft agreement will need to be signed by yourself and your ex-partner, then sent to a court for approval. This will cost £50. If the judge thinks the consent order is fair, it will be approved. If not, they can alter the order to make it fair, or explain why they do not consider it fair so a new agreement can be reached and order made.

This is also an ideal opportunity to sort out child maintenance. Arranging this will be a vital aspect of your finances as parents in the future, especially if you’re going to make it a legally binding agreement and want to ensure that your ex-partner will continue to support your child(ren) post-divorce.

Here at KMJ Solicitors, our team of London divorce lawyers are specialists when it comes to divorce and will be extremely beneficial when it comes to resolving your divorce as quickly and efficiently as possible. We will be able to guide you through every step of your divorce, including the financial agreement and any other aspects, such as child arrangements or maintenance.

What to Do if You Can’t Agree

Some people are able to resolve their divorce quickly, simply and without much hostility, if any at all. In many cases, though, people, unfortunately, find the divorce process to be very challenging and stressful, and much of this comes from disagreements over money and other assets. Even former partners who have broken up amicably can find it difficult to agree over a financial settlement, so it’s essential to seek advice and help at this stage to avoid any hostility or setbacks.

If you can’t settle on a financial agreement, it’s always a good idea to consult with your divorce lawyer, as they will have experience and knowledge to advise you on the best approach. If you still can’t agree, then the best option would be to use a mediator, as they will provide impartial advice and assist you in reaching an agreement. We can also recommend mediators to you.

Mediation is hugely beneficial for divorcing couples whose decisions are influenced by anger and resentment and is often the solution to resolve the situation without further delays. If there are still a few things that can’t be agreed with mediation, you can get a court to decide for you, but to do so, you must prove that you have attempted mediation and sought other advice.

Are you in need of an experienced family lawyer to assist you with your divorce financial settlement? KMJ Solicitors is a specialist firm of family lawyers with experience in all areas of family law, including divorce, prenuptial agreements, child law, international law and much more. Don’t hesitate to get in touch today for your FREE no-obligation consultation!

Clayton spent five years working in family law with a firm in Australia before moving to the UK in 1999. He deals with all aspects of family law, specialising in all family matters, offshore trusts, company structures, international law, prenuptial agreements, high net worth cases and cohabitation law.