bankruptcy

Hi, I live in Ohio and have been married for 3 years. My wife brought a large amount of credit card debt (about $25,000) into the marriage. Plus, my name is not on her cards. My question is: Can just one person in a marriage file for bankruptcy, without it affecting the other person? Also, we were told that a debt consolidation loan looks just as bad as bankruptcy on a credit report, because this shows you were having trouble with the payments. Also, I am on permanent disability. So, I have a very limited income. Any advice or response would be greatly appreciated. Thanks.

[HomeGuru]

[quote]Originally posted by mtdewed
[b]Hi, I live in Ohio and have been married for 3 years. My wife brought a large amount of credit card debt (about $25,000) into the marriage. Plus, my name is not on her cards. My question is: Can just one person in a marriage file for bankruptcy, without it affecting the other person?

**A: yes and no. She can file individually but you will still be named in the petition along with your SS#, income for the last several years, must list joint assets and liabilites etc. Also a joint credit report will list the BK for as long as 10 years. Your individual credit report may also show the BK depending on how the credit reporting agencies report.
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Also, we were told that a debt consolidation loan looks just as bad as bankruptcy on a credit report, because this shows you were having trouble with the payments.

**A: load of crap.
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Also, I am on permanent disability. So, I have a very limited income. Any advice or response would be greatly appreciated. Thanks.
**A: good luck.

I have to disagree with HomeGuru even though he has several thousand posts. I am in the process of filing chapter seven myself and consulted several attorneys before choosing one and have been told each time that a personal BK will NOT affect my wife. Considering that you are on a very limited income I highly doubt that your income is going to make a difference and even though it will be listed you won't be named as a participant in the BK so it won't show up on credit reports. Again, I have received the same answer from every attorney I consulted, including the one I hired.

If you have joint debts and one spouse files but the other doesn't, that bk will show up on the non-filing spouse's individual credit report because of the joint debts.

However, the report would also show that all payments are current, if indeed they are, so obviously that loan was reaffirmed on.

I hope this helps clear up some of the confusion here.

Your spouse's credit, if only in the spouse's name, will NOT show up on the other spouse's individual credit report.