The issues of bankruptcy and divorce are more intertwined than many people realize. Financial problems often lead to marital problems, and vice versa. Sorting things out so you can move on with your personal life and get yourself in a sound financial situation can be difficult.
At John T. Turco & Associates in Omaha, our attorneys understand the issues surrounding bankruptcy and divorce. If you are having financial troubles that are caused by or contributing to your divorce, contact us to arrange a free initial consultation with one of our experienced Nebraska and Iowa bankruptcy lawyers.
Dealing With the Financial Impact of Divorce
A marriage is both a family relationship and a financial relationship. When a marriage ends, it typically results in what was once one household becoming two. This may mean that more money is being spent to maintain those households, and no more money is coming in.
Increasingly, married couples cannot afford to get divorced, even though both spouses want to. Our attorneys can explore whether bankruptcy will allow you to get divorced and move on with your life.
Other people move forward with divorce and then find that they are unable to keep up with their new financial obligations. Child support, daycare, attorney’s fees and other expenses start to get out of control. After divorce, you may start relying on credit cards to handle regular expenses.
An astounding number of bankruptcies can be traced back to a divorce, even one that occurred years earlier. If you’ve been unable to get back on your feet financially since your divorce, filing for Chapter 7 or Chapter 13 bankruptcy may be an option.
Sorting Out Your and Your Spouse’s or Ex’s Debts
The bankruptcy of one ex-spouse can have surprising effects on the other, even if the divorce has been finalized. You may still be liable for debts that your spouse acquired during your marriage, even if those debts were assigned to him or her in the divorce decree. If your ex files for bankruptcy and has those debts discharged, the creditors may come after you.
Some of these problems can be avoided during the divorce process, if the settlement as to property division and spousal support (alimony) is worded properly. If you are going through a divorce where debts are involved, or if you have gotten divorced and are concerned about your ex’s debts, don’t hesitate to contact us for skilled advice.
We can help. Contact us to speak to one of our experienced bankruptcy lawyers or to arrange a free initial consultation. If you cannot come to our Omaha offices, we can consult with you by telephone.