How to safeguard your money

Pre-nuptial agreements may help women in Western countries to claim their financial rights but they still don't enjoy a legal status here. So how do Indian women safeguard their money? You may laugh when we tell you this, but it's best to establish the financial terms of your relationship right in the beginning. Your guy may seem like God's answer to manhood today, but the reality is that you have no idea of what life with him 10 years down the line will look like. So don't let that warm gush of oxytocins stop you from keeping your head together where finances are concerned.Unfortunately the option of a pre-nuptial agreement or a pre-nup - a contract unanimously signed by both the partners which includes provision for the split of property and assets should the couple divorce - really doesn't exist here. "Prenups haven't gained legal validity in our country yet, although I do get frequent enquiries from young people about these," says Osama Suhail, associate partner, ANZ Lawz. Pre-nup agreements in India do not have a binding character and are subject to the court's scrutiny. This implies that during divorce if either of the partners disagrees to the clauses of the pre- nup, the document loses its validity. "The Hindu Marriage Act doesn't allow this agreement to be presented in court as a means of evidence," points out Ujala Vishnoi, associate lawyer, Kar Vai Legal Solutions. Ample legal provisions Most women aren't smart enough to claim the money that's their due and end up getting a raw deal during divorce.Ironically though, the law has enough provisions to protect a woman's economic rights both during matrimony and divorce but women don't make use of this information, say lawyers. The Domestic Violence Act (2005) clearly classifies depriving a woman of her financial rights as "economic abuse" and calls it a punishable offence. Section 20 of the Act is a powerful tool to ensure economic equality in a marital relationship. "There are women who don't want separation, but want to be treated fairly in a marriage. Section 20 is a perfect tool for them," says Vishnoi. All married women are entitled to the right to property, financial support from husband, and ownership of her own assets, jewellery and valuable gifts received during the wedding. So a husband has no right to deprive his wife of her assets or property. He also can't sell or use her stridhan without her consent. And guess what? As long as you in the marriage, it's your husand's legal duty to provide residence. "A woman can't thrown out of her matrimonial home overnight as the law entitles her the right to residence. Even if the spouses don't want to live together, the husband is obliged to provide a residence to the wife till the time of divorce," says Suhail. The provisions don't end here. A woman also claim her financial rights under Section 498 which classifies demand for money from wife after four years of marriage for a specific purpose as harassment. Get a fair share If you and your partner do decide to part ways, some smart measures can be taken to ensure that you aren't deprived from your share of the assets accumulated during your marriage."Maintenance is the biggest bone of contention during a divorce," says Vishnoi. In our country, divorce laws are governed by personal laws such as the Hindu Marriage Act, Muslim Personal Law, Indian Christian Marriage Act, etc, and each one has its unique terms. "Luckily, Section 24 and 26 of the Hindu Marriage Act (1955) offers the right to maintenance to either partner who is nonworking and who doesn't have a source of income," says Suhail.It's a great tool for women to claim their financial rights, especially if they are jobless at the time of divorce. "However, it loses validity if the woman is working or earns more than her husband," points out Suhail.Based on the income of the husband and the living standard of the wife, the amount for alimony is fixed and can be paid to the woman either as a lump sum amount or on a monthly basis. Moreover, there is the provision of maintenance-both during marriage and post divorce- under section 125 CrPC and a woman can avail her economic rights under this provision.Despite so many provisions, the glitch is that they apply under different laws which come with their own limitations and women are confused by this. "You can ask for ' maintenance' only if you apply for a divorce. on the other hand, if you want to stay in the marriage and demand financial rights, you need to seek ' monetary relief' under Domestic Violence Act, and not maintenance," remarks Vishnoi. "A woman must be extremely clear about these basic legal differences and what she exactly wants before filing her case in order to get a fair deal," she adds. Smart steps help Be aware right from the beginning about the need to ensure your financial security within your marriage. Make sure that some assets are created in your name: All bank accounts, savings and deposits should also be held jointly as the court has the jurisdiction to settle property that is owned jointly. Make note of your stridhan , which includes jewellery, cash, and gifts from your parents, in- laws or husband, during marriage. Also, keep track of all relevant documents, including lease agreements, bank statements, insurance policies, credit card payments, mutual fund statements and financial documents. Give copies of list to your family and to your husband. Take stock of all shares, bonds, mutual funds, any other investments and property you possess together before you decide how to divide it. Also take into account any inequalities in incomes and responsibilities, especially if children are involved while doing so. Finally, do maintain a record of all major expenses including bills jointly paid and improvements made to the house.