08 | 22 | 2006 Posted By Tiffany Sanders J.D.

Impact of Chapter 7 Bankruptcy on Joint Debts

When two or more people are jointly obligated for a debt, and one of those debtors files for Chapter 7 bankruptcy protection, only that debtor's obligation is affected.

This comes into play most often when a married person files for Chapter 7 bankruptcy but his or her spouse does not. If the couple has joint debts, even if the person filing for bankruptcy protection was the primary account holder, the other person is still obligated for the debt.

This is true whether or not the joint debtors are married, and applies even if the co-debtor was only a co-signer on the account. Debtors with outstanding joint debts should factor this in when considering Chapter 7 bankruptcy--if one spouse files without the other and there are significant joint debts, the practical impact of discharging those debts as to one spouse may be limited.

Written By:Alice On September 6, 2006 12:47 AM

I plan to file chapter 7 -- when I discussed this with an attorney he asked me to bring my live-in boyfriend's paycheck stub for the last six months. I found that strange...because we do not have joint debt; but we do share rent/living expenses. Where can I find out if this attorney is correct to include my boyfriend's income with mine. -- currently my boyfriend has his own bankrupt case - he currently pays on Chapter 13.

Written By:lynn On September 18, 2006 2:49 AM

I am re-sending this question. I needed to correct my email address. my question was regarding my ex-spouse filing chapter 7 when we split plus I was laid off work during that time also. we filed against all credit cards. He re-affirmed his truck & RV. I re-affirmed my car. Since that time the Lender of the RV is sending me notification to file civil suit against me on the RV. Since I did not want the RV & he did. He re-affirmed the RV not me. Is this legal. Can they still hold me liable for the RV payments, which he has defaulted on & has been repossesed.
thank you

Written By:Connie On April 24, 2007 10:00 AM

My aunt and uncle filed for bankruptcy in Washington state. They will be done making payments in November of this year, and my uncle just died. Is there any kind of relief in this type of situation?