1. Make copies of all financial records. It’s very important to have an accurate picture of all your assets and debts. You’ll need to know all bank accounts, savings accounts, loan accounts, credit accounts, tax returns, etc. as all of these will need to be divided in your divorce. Having copies made before you actually separate from your spouse will save you the trouble of trying to track records down later.
How does bankruptcy affect my divorce case?
In today’s economic times, divorce and bankruptcy often go hand in hand. It’s important to know what role bankruptcy can play in a pending divorce suit.
You may be able to file for divorce while you have a pending bankruptcy filing and the court may render judgment on issues such as child support or conservatorship issues. Many courts will not award property while your bankruptcy is still pending and your divorce may not be finalized until the bankruptcy has been discharged.
If the court does allow your divorce to be finalized, bankruptcy can have an effect on the property and debts that were awarded in the final decree of divorce. Obligations entered into in a divorce settlement are considered non-dischargeable, which means they may not be discharged in a later bankruptcy filing. And while creditors can’t come after you for payment after you’ve filed for bankruptcy, they can go after your ex-spouse for payment for any community debts. That opens you up to financial liability to your ex-spouse even after your divorce is finalized.
The complexity involved in a joint divorce and bankruptcy make it imperative that you are represented by an attorney who is experienced in divorces involving bankruptcy. Please contact the Ramos Law Firm if you are interested in consulting with an attorney and obtaining more information.