Asset searches are one of the most common reasons a private investigator is hired. There are many reasons to conduct an asset search, but often a lot of confusion surrounding what an asset search can actually reveal. Read on to discover the 5 most common reasons asset searches are performed and what data can reasonably be uncovered.
Pre-litigation: A common reason an asset search is conducted is to determine if a potential defendant has enough assets to warrant filing a lawsuit against them. Legal proceedings and attorney costs can be prohibitively expensive, not to mention that it may take years before lawsuits are resolved. So determining what a person or company does or does not have can save thousands of dollars.
Divorce: When a spouse has to obtain a judgement and find assets that they can seize, a private investigator is often brought in to conduct an asset search. This can also help determine whether one spouse has been hiding assets.
Financial advisor and investments: An asset search is a useful tool to determine the worthiness of a potential financial advisor or company you may want to invest in.
Business: Before going into business with a person, an asset search is commonly used to learn more about their finances, assets or liabilities.
Marriage: Getting a good idea of a person’s true financial picture can be achieved through an asset search before marriage.
What data can actually be discovered in an asset search?
There are three types of searches that can be legitimately conducted.
Basic asset search: Confirmation of Social Security Number, date of birth, twenty year address history, national property search and any data entered in the U.S. Consumer Public Filing Index regarding bankruptcies, notices of defaults, judgements, tax liens, and problems with the IRS.
Bank, Savings, and Checking account searches: Can confirm that accounts exist and the amount within them
Stocks, Bonds and Securities searches
Are there restrictions on asset searches?
Yes. The Gramm-Leach-Bliley Act (GLBA) passed in 1999 requires financial institutions to explain how they share and protect their customers’ private information. It also sets the standards for how private investigators can legally glean financial data. Finding a private investigator that knows the law and can navigate it within legal bounds is crucial to obtaining information in an asset search that is ethical, legal and accurate.