Bankruptcy and Divorce
It seems like bankruptcy and divorce often go hand in hand. While you are splitting up your assets and property, you are also splitting the debt that you and your spouse incurred during your marriage. These debts can be overwhelming, which may require you to file for bankruptcy as well the divorce itself.
You have enough things to worry about during a divorce without having to trouble yourself with battling creditors. For help throughout the bankruptcy process, call Birmingham bankruptcy lawyer Paula Greenway today at (205) 324-4000.
Whose Debt is Whose?
As with property before and after marriage, the debt that you have on your own is still yours after divorce. Additionally, the debt that you and your spouse both accrued from joint accounts is typically divided between the two of you upon divorce, no matter who made the actual purchase. For example, if a husband bought a lawnmower with a joint account, the wife is also responsible for paying this debt back – even if the husband failed to inform her of the purchase.
Declaring Bankruptcy During a Divorce
Applying for bankruptcy protection during a divorce can freeze your debts and also clear some of them up, depending on the type of bankruptcy you choose. This can be incredibly helpful as you are trying to deal with your divorce. If you file for bankruptcy on your own, it can help protect you from debts incurred by your soon-to-be-ex during the proceedings.
When you are having financial problems, you should entrust your case to a qualified bankruptcy attorney. For more information regarding the process of filing for bankruptcy, contact Birmingham bankruptcy attorney Paula Greenway at (205) 324-4000 today.