Bankruptcy, Your Ex-Spouse & What You Need to Know

by DeLadurantey Law Office, LLC on January 22, 2015

coupleIf you are divorced and planning to file a Chapter 7 or Chapter 13 case, you are probably wondering if you have to tell your ex-spouse. Most divorcees are reluctant to notify their ex-spouse about their need for debt relief, often out of embarrassment.

Whether or not you must give your ex-spouse notice of your bankruptcy case depends on whether you owe him or her money. For example, if you owe your ex child support or alimony, they should get notice of your filing. They must also get notice if you owe some other form of debt pursuant to your divorce decree (typically as part of the division of property).

If your ex-spouse is a co-signer or co-debtor on any of your debts, you must give them notice of your case. For example, if you co-signed a mortgage or vehicle loan. It is important to understand that you can still be co-debtors on a loan even if your divorce decree orders one party to pay the debt.

It is important to fully disclose all of your income, assets, debts and expenses when you file a Chapter 7 or Chapter 13. Failure to make a full disclosure can result in your case being dismissed, which would leave you without the protection of the bankruptcy court and full liability for all of your debts.

As with most things in life, it is better to bite the bullet and be honest with your ex-spouse. In fact, we believe it is generally better to tell them before you file rather than having them surprised when they get notice in the mail.

The “defender of the little guy,” DeLadurantey Law Office, LLC, handles student loan debt and bankruptcy matters (Chapter 7 and Chapter 13) in Milwaukee, South Milwaukee, West Milwaukee, and Milwaukee County, including the municipalities of Bayside, Brown Deer, Cudahy, Fox Point, Franklin, Glendale, Greendale, Greenfield, Hales Corners, Oak Creek, River Hills, Shorewood, St. Francis, Wauwatosa, West Allis, and Whitefish Bay. The firm also can handle your debt negotiations, debt relief, and mortgage loan modifications.   Contact DeLadurantey Law Office, LLC by phone: (414) 377-0518. Like us on Facebook.

 

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