While the question of whether to file bankruptcy before of after getting divorced may seem like a simply one on the surface, it is actually more complicated than simply giving a simple yes or no type answer. While the answer to this question is not as complicated as the bankruptcy code itself, the answer is directly tied to the bankruptcy code. Numerous things have to be considered, including the following:
- Is there a custody issue?
- Are both spouses working?
- Is the household income more than the median household income for debtors of your household size in your state?
- Is a tax refund expected at the end of the year?
- Do you own your house (as opposed to renting)?
- Are wages being, or going to be, garnished?
- Is the divorce contested?
- Are both spouses contemplating bankruptcy?
- Which chapter of bankruptcy is most appropriate depending on when it is filed?
- Are you behind on payments on any secured debts you might want to keep?
- In the distribution of assets from the divorce, are there any funds to be transferred from one account to another pursuant to the judge's order?
To get a proper answer to this question, I suggest you call to schedule an appointment for a consultation with a competent bankruptcy attorney in your area?