Can You File for Bankruptcy Without Your Spouse?

spouse

In most marriages, money is considered the property of both spouses. Many couples have joint bank accounts, so the incomes and other earnings are shared.

But not every marriage works this way. In some marriages, finances are not shared. Each person has their own bank account, and bills and expenses are split. This may seem weird and unfair, but not every couple shares the same philosophy about finances in terms of saving and spending. Some people spend every dollar they earn, while others are smart savers.

What this means is that it is possible for one person to have a lot of money saved up while the other may be in significant debt. They may have several maxed-out credit cards and have little income. They may be digging deeper into debt every day.

In this case, you may wonder: can I file for bankruptcy without my spouse? There is no law preventing a husband or wife from filing on their own.

This may seem odd, but there are situations in which it may be wise to file without your spouse. They include:

  • You keep all finances separate.
  • There is a prenuptial agreement.
  • The debts are in your name only.
  • Your spouse has already filed for bankruptcy and is not yet eligible for a discharge.

What to Consider

Is bankruptcy a good idea for one spouse but not the other? Here are some factors to consider before you file:

  • Type of bankruptcy: Most people file for Chapter 7 or Chapter 13 bankruptcy. Your choice may depend on your income, assets, and debt situation.
  • Joint debts. If you and your spouse have joint debts, filing for bankruptcy as an individual won’t help. The other spouse will still be on the hook for the balance. If you want to discharge the debt, you will need to file for bankruptcy jointly.
  • Assets and exemptions. When filing individually, you will need to disclose all your assets and debts. Some assets may be exempt, but understanding how this works can be complex.
  • Impact on credit. Your bankruptcy will affect your credit score, which could indirectly impact your spouse, especially if you have joint accounts.
  • Consultation with a professional. Bankruptcy can be complex, especially when a person is married and filing on their own. It’s advisable to consult with a bankruptcy attorney to understand the implications and to ensure you’re making the best decision for your situation.

Contact Us Today

It is possible for one spouse to have a much different financial status than the other. When this happens, filing for bankruptcy solo may be the best option.

The Law Offices of Adam M. Freiman can assess your situation and help you understand your options for financial relief. We will guide you through every step of the process. Schedule a consultation by filling out the online form or calling (410) 486-3500.

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