The divorce industry is a multi-billion dollar system designed to manage legal separations, asset division, and financial settlements. But what if the divorce process itself is flawed? What if inefficiencies, outdated regulations, and unnecessary legal maneuvers are costing divorcing individuals thousands of dollars—without delivering real results?
In our latest episode of We Chat Divorce, we put the divorce industry on trial, exposing the financial traps many people fall into and sharing insights on how to take back control of your own divorce journey.
The Hidden Costs of Divorce
When people think about divorce, they often picture dramatic courtroom trail battles, lengthy legal proceedings, and emotional confrontations. What they don’t realize is that many of the financial challenges of divorce come from the system itself.
✅ Subpoenas That Lead Nowhere
Subpoenas sound like the ultimate legal tool for obtaining hidden financial information. But in reality, they’re often poorly executed and waste thousands of dollars on administrative work that doesn’t yield the right results.
💬 Karen Chellew explains:
“We have a client right now—many clients actually—where subpoenas request the wrong type of account or aren’t comprehensive enough. Then attorneys go back to correct them, and sometimes the entity says they’ve already answered the subpoena, even when they haven’t. Meanwhile, the client has spent thousands of dollars on a process that didn’t work.”
✅ The Mediation Myth
Many people assume mediation is the best way to reach an amicable divorce settlement. While mediation can be valuable, it’s not always the solution it appears to be. Too often, individuals enter mediation without a full financial picture, only to be pressured into signing agreements they don’t fully understand.
💬 Catherine Shanahan shares a common scenario:
“Clients walk into mediation expecting fairness, but mediators often start with, ‘I’m here to get you both to settle today.’ If you’re unprepared, you could make rushed decisions that cost you thousands—and undoing those decisions later is incredibly difficult.”
✅ Lawyers vs. Financial Clarity
Attorneys are essential in the divorce process, but they are not financial experts. Many people assume their attorney will provide financial guidance—only to later realize that financial planning isn’t part of their role.
💬 Karen explains the reality:
“Attorneys are there to enforce agreements, not to help you understand your finances. Most settlement agreements even include a clause that says, ‘I understand that my attorney did not provide me with financial or tax advice.’ Yet, people continue to rely on their lawyers for financial clarity, only to be left in the dark when it matters most.”
How to Take Back Control of Your Divorce
1. Understand Your Finances Before Entering the Legal Process
Too many people enter divorce proceedings without a full picture of their marital estate. By organizing financial documents ahead of time, you can avoid costly mistakes and unnecessary legal fees.
2. Be Cautious with Subpoenas and Discovery
Just because your attorney suggests a subpoena doesn’t mean it’s the best financial move. Make sure subpoenas are targeted, necessary, and worth the cost.
3. Don’t Assume Mediation Is the Answer
Mediation can be a great tool—but only if you’re financially prepared. If you don’t have a clear understanding of your assets and debts, you could be pressured into a bad deal.
4. Use the Right Experts for Financial Guidance
Instead of relying on an attorney for financial advice, work with divorce financial experts who specialize in asset division, tax implications, and long-term financial stability.
The MDS Financial Portrait™: Your Solution for Divorce Clarity
At My Divorce Solution, we believe divorce should be transparent, fair, and financially informed. That’s why we created the MDS Financial Portrait™—a comprehensive financial planning tool that helps you:
✔️ Identify your marital assets and debts
✔️ Understand your financial standing before mediation or litigation
✔️ Avoid costly legal mistakes
✔️ Gain financial clarity so you can negotiate with confidence
👉 Don’t go into divorce blind. Get the clarity and control you need with the MDS Financial Portrait™.
Like this article? Check out “Thinking Divorce? Here is a Checklist to Prepare”
