Can you file bankruptcy with your ex-spouse?
Can you file bankruptcy with your ex-spouse?
As a general rule, any debt a spouse has incurred as a result of a divorce cannot be avoided in bankruptcy. So for instance, if a spouse has been ordered to pay alimony or child support, they have to continue to do so even if they go bankrupt.
What happens to your credit if your ex spouse files for bankruptcy?
Joint or Cosigned Credit Obligations. If your ex-spouse files for bankruptcy, you will be responsible for the debt if you are a joint owner or cosigner. The lender can require you, as a joint owner or cosigner, to make payments on a loan if your ex-spouse declares bankruptcy on the credit.
Can a spouse still be responsible for a credit card debt?
Your spouse is still responsible for debts where they are a co-applicant. For example, if you discharge a credit card debt in Chapter 7 bankruptcy, the creditor may pursue your ex-spouse for payment. While you can discharge your obligation to pay a debt,…
What happens to your credit card if you file bankruptcy?
However, the credit card company may still go after your ex-spouse if they don’t get all of their money back via your Chapter 13 bankruptcy repayment plan. If you and your ex-spouse own property together that is not exempt, the bankruptcy court may liquidate the property and use your portion of the proceeds to repay your creditors.
Can you discharge an ex spouse’s debt after a divorce?
While you can discharge your obligation to pay a debt, you can’t discharge your ex-spouse’s payment obligations. If you’re filing Chapter 13 bankruptcy after a divorce, you will be responsible for repaying any debts attached to your name even if your ex-spouse is responsible…
What happens to your credit card if your ex-spouse files bankruptcy?
If your ex-spouse declares bankruptcy, then the card company can require you to repay the full balance — and your credit history will bear the full brunt of the bankruptcy filing even though you weren’t the one to file.
Your spouse is still responsible for debts where they are a co-applicant. For example, if you discharge a credit card debt in Chapter 7 bankruptcy, the creditor may pursue your ex-spouse for payment. While you can discharge your obligation to pay a debt,…
How is credit card debt discharged in bankruptcy?
By and large, most credit card debt can be discharged by filing for bankruptcy. The way these balances get discharged depends on which type of filing you make – Chapter 7 or Chapter 13. Credit card discharge through Chapter 7 Chapter 7bankruptcy ensures that almost all credit card debt gets erased.
How does filing bankruptcy after divorce impact my Ex?
If you’re filing Chapter 13 bankruptcy after a divorce, you will be responsible for repaying any debts attached to your name even if your ex-spouse is responsible for creating the debt.