Bankruptcy and Divorce: What You Need to Know

The information provided is for general informational purposes only and does not constitute legal advice.  Every legal situation is unique, and you should consult an experienced attorney for advice tailored to your specific circumstances. For personalized assistance, contact our office directly.

Divorce is one of the most challenging life transitions, and it’s often accompanied by financial stress. If you’re struggling with debt as you go through a divorce, bankruptcy may provide the relief you need to start your new chapter with confidence.

As a bankruptcy attorney serving Sebring, Florida, I’ve helped individuals navigate the complexities of bankruptcy and divorce. Here’s what you need to know about how these two processes intersect.

Should You File for Bankruptcy Before or After Divorce?

Deciding when to file for bankruptcy depends on your unique situation. Here are some considerations:

• Filing Before Divorce: If you and your spouse have significant joint debt, filing for bankruptcy together before divorce can simplify the process. It allows you to eliminate debt as a team, reducing financial complications during your divorce proceedings.

• Filing After Divorce: If your divorce is already finalized, filing individually can help you address personal debts and rebuild your financial future independently.

An experienced attorney can help you determine the best timing based on your circumstances.

How Bankruptcy Affects Marital Debt

Marital debt, such as joint credit cards, medical bills, or personal loans, can complicate divorce proceedings. Here’s how bankruptcy addresses it:

• Chapter 7 Bankruptcy: Discharges unsecured debts, allowing both parties to start fresh without the burden of joint liabilities.

• Chapter 13 Bankruptcy: Provides a repayment plan, which can be particularly helpful if one party is keeping a jointly owned home or other significant assets.

It’s important to note that bankruptcy does not eliminate obligations like child support or alimony.

Protecting Your Assets in Florida

Sebring, Florida, benefits from some of the most generous bankruptcy exemptions in the country. Whether you file individually or jointly, you can protect essential assets like your home, car, and retirement accounts.

Why You Need an Experienced Attorney

Bankruptcy and divorce are both complex processes, and they often overlap. Working with an attorney who understands both can save you time, money, and stress.

Start Fresh With Confidence

As a bankruptcy attorney in Sebring, Florida, I’ll help you navigate these challenges with care and professionalism. Whether you’re considering filing before or after your divorce, I’m here to guide you every step of the way.

Call Today for a Free Consultation

Divorce and debt don’t have to define your future. Call me at [insert phone number] to schedule a free consultation. Together, we’ll create a plan to eliminate debt and help you move forward with confidence. Your fresh start is just one call away!