Bankruptcy and divorce can often overlap. Divorce is all about dividing up what you own and owe, while bankruptcy is about getting a fresh start with your finances and putting a debt problem behind you. The hard part is figuring out the timing. Some couples decide to file for bankruptcy jointly before the divorce to wipe out shared debts and simplify the financial side of any divorce proceedings. Others wait until after the divorce is finalized and file separately. Every case and every couple is different, so a bankruptcy attorney can help you with how to navigate through this situation and make sure there are no issues with a possible bankruptcy case.
It’s also good to know that bankruptcy doesn’t clear everything. Debts such as child support and alimony cannot be discharged, but arrears can possibly be paid in a chapter 13 bankruptcy. Sometimes, there may also be debts that are required to be paid due to the contents of the divorce decree. It can get a little complicated, so reaching out for clear and concise legal advice on how a bankruptcy would work with your specific situation is the best course of action.
It’s a lot to navigate through and can be very stressful and hard, but filing a bankruptcy is about a new beginning. With the right advice and a bit of patience, you can rebuild, move forward, and step into the next chapter of your life feeling free and in control. Whenever you are ready to get a handle on a debt problem, reach out to Minnesota’s kindest and most helpful bankruptcy law firm at www.lifebacklaw.com!