Today, nearly everyone has considerable debt. From college to car to credit cards, most people are juggling payments against tight budgets. Add marriage into the mix (not to mention the growing average cost of weddings), and you get a growing number of married couples with looming debt crises.
Here lies the quandary that many couples face—what is the best way to go about conquering that debt? For some, they may want to file jointly to help ease their burden and take advantage of doubling some of Arizona’s exemptions. For other couples, one spouse may be shouldering most of the debt, so it may not make sense to file for bankruptcy together. Find out which method may work best for your Phoenix bankruptcy case.
When it Makes Sense to “Go It Alone”
Just because you are married does not mean that you need to share everything—especially a bankruptcy case! If just one of you is in debt, filing without your spouse can be a good solution that will benefit you both in the long run. While the spouse who is filing will need to disclose both incomes as well as assets that you both may share (shared assets may be fair game to the bankruptcy trustee), the nonfiling spouse’s income and personal assets will most likely be safe from creditors.
When to File a Phoenix Bankruptcy Jointly with Your Spouse
If both spouses have considerable debt, filing jointly can save you considerable money and headache. Being able to file once together cuts down on filing fees and court hearing appearances. If you both have debt, filing jointly may allow you to take advantage of Arizona’s exemption doubling allowances, so your assets and property are better protected.
If You are Married and In Debt, Call Us Before You Dive Into Bankruptcy
Bankruptcy for married couples is especially complicated, and can make an already difficult process even harder. Because two people often have more assets than one alone, married couples stand to lose more in a bankruptcy if they do not proceed cautiously and correctly. At Curry, Pearson & Wooten, our Valley bankruptcy attorneys can help guide you down the right path that will both protect your assets today and pave a way for a better financial future. Call us at 602-258-1000 or toll free at 888-929-5292 to get started down a better road today.