Divorce and Bankruptcy
Tampa Bay Bankruptcy and Debt Relief Attorney
Bankruptcy & debt often go hand in hand. This is where a bankruptcy and divorce attorney can help you explore your options.
Who gets the debt?
When we're talking divorce, most people think who gets the money? But there is another important question that needs to be asked, which is who gets the debt?
With a divorce, debt is divided up just like money. The more debt, the more it's divided up. Does your wife have high credit card balances? How much does your husband owe on the car? These are things that are going to come up in any divorce and these are things that will probably cause a fight.
Assets and Liabilities
Under Florida Statute 61.075, the assets and liabilities of a couple are supposed to be equally distributed; half the money to her and half the money to him; half the debt to her and half the debt to him; unless there are other considerations such as the wife being a homemaker, the economic situation of each person, and several other things.
Needless to say, it's important to find out, if you don't already know, whether your "better half" has any secret debts because you could be on the hook for it.
Timing is Key
The time to file personal bankruptcy is key when going through a divorce. Through the normal course of a divorce, a probate judge will order the division of assets and debts, but a court order won't change whose name is on the credit card, mortgage, or car loan. I'll give you an example. John and Jane are getting divorced and their St. Petersburg house is going to Jane. The mortgage is under both John's and Jane's names. Jane is living in the house and pursuant to court order is responsible for paying the mortgage. However, Jane stops paying the mortgage and the house goes into foreclosure. John, being on the mortgage, is now also a defendant in the foreclosure action. As a result, his credit is destroyed and Jane has further ruined his life.
John would have benefitted from talking with the Coleman Law Group during that divorce and subsequent foreclosure.
Bankruptcy may help you discharge the debt the judge ordered was your responsibility to pay and avoid the ramifications that come if or when they are not paid. However, bankruptcy cannot discharge your obligation to pay child support or alimony. Let us walk you through the steps to filing bankruptcy and see if Chapter 7 bankruptcy or Chapter 13 bankruptcy is right for your situation.
If you would like an appointment with one of our experienced professionals, please call one of our Florida offices for a free bankruptcy consultation. We are a compassionate and affordable bankruptcy lawyer who understand that life happens.
Don't wait, contact the Coleman Law Group for a free bankruptcy consultation at 727.214.0400.
You also can visit our website at colemanlawgroup.com