Financial Affidavit is a type of affidavit that is used to list all of your assets, liabilities, debts and income. In simple words, it describes your complete current financial situation.
Financial Affidavit is also known as net worth statements, financial statements, financial disclosure affidavit and statements of financial affairs. You might be thinking that where this affidavit can be used? Well, it is very useful in scenarios like divorce, bankruptcy, child support, and other similar legal court cases. Without a financial affidavit, you won’t be able to apply for a loan. You also won’t be able to know which company to invest your money in because without the affidavit, it’d be impossible to find out which company can be profitable for you as an investor.
A Financial Affidavit helps the court in identifying how your financial situations is like and also how much of that can go to your spousal or child support. Furthermore, it also allows people to identify a company for investment purposes.
Additionally, when a couple get divorce, each one has to create their own financial affidavit. It includes many important details and documents such as checkbooks, bank statements, tax returns and utility bills, you have to include them all because they all are compulsary to be used on the form. It is wise to hire a professional to do the job for you because some financial affidavits also require weekly income and expenses and things can easily get out of hands.
However, that’s not the case for every financial affidavit form because there are some other short and easy to fill forms. Make sure to write legitimate things on the affidavit or else be prepare to face the consequences that includes heavy fines and long jail times.
The Value of Financial Affidavits in Court
Financial Affidavits allows the court to calculate spouses and child support payments. Both partners will transfer their affidavit papers with each other and if one notices something weird then they are free to tell the court about it.
Additionally, an attorney should be present with you searching for such mistakes. Once it is found, you will have to prove it to the court whether it was intentionally or unintentionally.
Domestic Relation Affidavit
Domestic Relation Affidavit also known as DRA is a type of affidavit that is used in a divorce. This legal document is signed by both, and includes the list of their assets, income, properties, and other financial stuff. DRA plays a very vital role in a divorce. This works similar to marriage affidavit that is signed by both partners and in terms of a divorce, a divorce affidavit should be signed and domestic relation affidavit is also required in some cases.
Domestic Relations Financial Affidavit
Domestic Relations Financial Affidavir or DRFA is a type of affidavit that is useful when a person is trying to end their marriage. This affidavit gathers complete detail of the current financial standings of the couple. All the assets and expenses of the couple are listed and combined totally. Then, the court will take care of the division of assets.