Breaking the cycle: recognising financial abuse.

What is financial abuse?

Financial abuse is part of a wider picture of domestic abuse and often referred to as economic abuse. It can go unnoticed for many years and is often recognised during divorce proceedings. 

The Domestic Abuse Act 2021 defines economic abuse as “any behaviour that has a substantial adverse effect on an individual’s ability to acquire, use or maintain money or other property, or to obtain goods or services” 

In simple terms, financial abuse is a pattern of coercive behaviour to control finances. For example, monitoring spending, controlling money in joint accounts, manipulation or coercion to take out loans and credit cards and restricting access to joint accounts, credit cards etc. 

The impact of financial abuse can have an emotional and psychological impact leaving a victim isolated, dependant and scared. 

What are the warning signs?

• Feeling pressured 
• Fear of making financial decisions without approval
• Feeling guilty for spending 
• Requesting permission to buy essentials 
• Having to justify purchases 
• Lack of control over own finances 
• Being prevented from working 

How can you protect yourself?

• Be familiar with the warning signs 
• Monitor personal finances if possible 
• Reflect on behaviours 
• Seek help 

For some, financial abuse is a part of everyday life and can become invisible. However, it shouldn’t be underestimated. Financial abuse poses a risk of further types of domestic abuse as well as impacting emotional and psychological wellbeing and independence. 

If you are concerned that you may be victim of financial abuse, contact our Family Team for advice.