Im filing a Bancruptcy will that affect my husband's business?

Question

I am filing bancruptcy because i forclosed my house and i want to start over but my husband just recently bought a business under his name only. will that affect the business at all?

Answer 1

You need to consult an attorney to determine what benefit, if any, you will get from filing bankruptcy.  It is not a do it yourself project.

You do have the option to file on your own.  A married person does not have to have his or her spouse join in.

Answer 2

Your bankruptcy will only affect you, not your husband.  When you file, you will have a court hearing and they will go over all of that.  As a matter of fact the initial meeting with your bankruptcy lawyer willl answer that question too for your specific state.

Answer 3

If I am not mistaken, you cannot file bankruptcy unless your spouse files as well.  Too many people try to escape paying their debts and hide assets that way.  Assets may be under the sole name of one spouse, but unless it is set up as sole and seperate property- not just bought in one name, it will be considered community property.  Talk to the attorney you hire to do your bankruptcy (which may not be the best idea for you to file anyway) and ask.  The business may be considered a marital asset, even if it was just purchased in his name, therefore you will need to list it as an asset in the bankruptcy documents.

It honestly just sounds to me like you are trying to put a bandaid on because of the foreclosure.  Just understand that filing bankruptcy will only further damage your credit for many more years to come and isn't a solution to escape a bad financial decision you already made.  Try looking at ways to improve your credit and cut your spending instead of looking at a court to bail you out.  It may also be denied because while you were struggling to pay bills, your husband had the additionall free capital to purchase a business.  

Bankruptcy is a last resort, not a ticket out of problems.