A Schaumburg Bankruptcy Lawyer Can Help You Understand How Divorce Affects Bankruptcy

Unfortunately, divorce and bankruptcy often go together. That leaves two people whose marriage is ending with the need to make important decisions about finances. Be aware that you can file for bankruptcy separately or together. Or, one of you can file but not the other. That’s a lot of decisions to make — and at a difficult time.

If you are going through a divorce and considering the need to file for bankruptcy, U.S. Law Attorneys, Ltd. in Schaumburg, Illinois, and Camp Springs, Maryland, is here to help you understand your rights and obligations. When you come in for a free consultation, you will talk with an experienced Schaumburg bankruptcy lawyer.

A Brief Overview of Divorce and Bankruptcy

• Both spouses are responsible for joint marital debt. If one spouse files for bankruptcy, the other spouse still has responsibility for the debt.
• Debts to a former spouse from your division of marital assets may be dischargeable in bankruptcy.
• In the case of a foreclosure, each spouse may have valid rights to be protected, including when a bankruptcy is filed.
• Spousal maintenance, alimony, and child support obligations generally are not affected by a Chapter 7 bankruptcy.
• Whether from jointly or separately filed tax returns, IRS tax liability can continue to affect each spouse in different ways.
• If you file for bankruptcy alone, your spouse or former spouse must be notified.
• If both spouses file for bankruptcy, separately or together, the jointly held debt will be treated separately for each spouse as per his or her wishes in the bankruptcy.

Make Sure You Understand Your Rights and Obligations

An experienced Schaumburg bankruptcy attorney can explain your rights and help you decide what is best for you under the circumstances. If you plan to file or if your spouse plans to file, make sure you know how that will affect you. Contact us for a free consultation.