October Welcome Letter:
Financial Abuse
Hello and welcome to the Office of Financial Literacy’s blog. Each month, our office will be writing and publishing articles covering a specific topic related to financial literacy. The purpose of this blog is to act as a resource for SU students so they can equip themselves with the knowledge to take control of their finances.
October is Domestic Violence Awareness Month, and financial abuse is an insidious version of domestic violence that occurs in 98% of abusive relationships (PCADV). Financial abuse is extremely widespread, yet it goes unidentified by many. The Office of Financial Literacy believes awareness of financial abuse is imperative to protecting yourself or others financially. Therefore, we will be covering many topics related to financial abuse awareness throughout the month of October.
Financial abuse, also known as economic abuse, occurs when “one intimate partner has control over the other partner’s ability to access, acquire, use, or maintain economic resources, which diminishes the victim’s capacity to support themselves and forces intentioned dependence.”
People who find themselves in financially abusive relationships are stripped of their financial independence. Victims are manipulated into situations where they don’t have the money or resources to support themselves or their children without the abuser. Financial abuse is the number one reason victims stay in or return to their abusive relationships (PCADV). Therefore, it is crucial to understand the signs of financial abuse so you can recognize and prevent it from happening to you or someone you love.
According to the NNED (National Network to End Domestic Violence), the signs of financial abuse include:
- Forbidding the victim to work.
- Sabotaging work or employment opportunities by stalking or harassing the victim at the workplace or causing the victim to lose her/his job by physically battering prior to important meetings or interviews.
- Forbidding the victim from attending job training or advancement opportunities.
- Controlling how all of the money is spent.
- Not including the victim in investment or banking decisions.
- Not allowing the victim access to bank accounts.
- Withholding money or giving “an allowance.”
- Forcing the victim to write bad checks or file fraudulent tax returns.
- Running up large amounts of debt on joint accounts.
- Refusing to work or contribute to the family income.
- Withholding funds for the victim or children to obtain basic needs such as food and medicine.
- Hiding assets.
- Stealing the victim’s identity, property, or inheritance.
- Forcing the victim to work in a family business without pay.
- Refusing to pay bills and ruining the victims’ credit scores.
- Forcing the victim to turn over public benefits or threatening to turn the victim in for “cheating or misusing benefits.”
- Filing false insurance claims.
- Refusing to pay or evading child support or manipulating the divorce process by drawing it out by hiding or not disclosing assets
It is important to note that financial abuse does not occur only in romantic relationships. Financial abuse can also take place in familial relationships (ex. parent/child relationships).
For more information on financial abuse and other important financial literacy topics, subscribe to our newsletter and check out our blog which will be updated throughout the week. If you think that you or someone you know may be a victim of financial abuse, please go check out this link.
References:
https://nnedv.org/content/about-financial-abuse/
https://www.pcadv.org/financial-abuse/