My spouse and I are separated and may be getting divorced (or there is already a divorce proceeding pending but not yet final.) We have a lot of debt together. What should I / we do?
If your marriage has not
legally ended, you and your spouse may file
bankruptcy jointly. A joint filing is usually advisable to
maximize the
homestead exemption, and / or just to save money on attorney
and filing fees. Once the 'marital status' has terminated
though, you and your spouse may not file jointly, but
instead must file individually. Timing, therefore, is
everything. If course, a joint filing assumes you and your
spouse can put aside the differences resulting in the
divorce in the interest of financial self preservation. You
might be surprised how often divorcing spouses accomplish
this degree of cooperation. The attorneys in the divorce
case are, or at least should be, well aware of the
consequences of bankruptcy in divorce.
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