QUESTION
Can he leave the house out of the bankruptcy and if not, how is this going to affect me?
Asked on Nov 16th, 2015 on Bankruptcy - Michigan
More details to this question:
My ex-husband is planning on filing bankruptcy and we own a home together. In our divorce degree, I turned over my rights to the home and he was supposed to refinance with 24 months. He has not refinanced. The house’s mortgage is currently current. If he continues to pay mortgage on time (as he says he will), will him filing follow me or affect my credit?
8 ANSWERS
It shouldn't (assuming he continues to pay on time).
Answered on Dec 01st, 2015 at 1:17 PM
It is certainly possible to keep a mortgage through bankruptcy, especially if the payments are current. He would have to list you as a codebtor on the mortgage, since he has not refinanced, so you might be contacted by the mortgage holder but it should not have any real effect on your credit.
Answered on Nov 30th, 2015 at 4:28 PM
You need to remove yourself from that mortgage or else you could get in trouble if he does not pay.
Answered on Nov 30th, 2015 at 4:28 PM
It would be a pretty slick trick if someone could file bankruptcy and chose to leave out property and debts. What you are describing is a situation that is very common when someone is not well represented in divorce court. Your ex will NEVER refinance and the divorce decree saying otherwise is meaningless. It is possible that this mortgage credit will affect your credit for the next 30 years. Sorry, but that is the reality of your situation.
Answered on Nov 30th, 2015 at 4:27 PM
Bankruptcy Attorney serving Madison, WI
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Richard B. Jacobson & Associates, LLC
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Also, if there is any debt on the house, the law requires him to list it on the bankruptcy papers. It is an offense and could get him in trouble if he fails to list any debt, or any property.
Answered on Nov 30th, 2015 at 4:25 PM
2 Awards
His filing will not show on your credit. If he is fining a chapter 7 he cannot discharge his obligation to you under the decree to pay the mortgage. If he falls behind you can seek relief from the family court.
Answered on Nov 30th, 2015 at 10:27 AM
Appellate Attorney serving Grosse Pointe Farms, MI
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See an attorney, potentially yes as you are liable for the house not if he does not pay, divorce or not, you are liable to the bank.
Answered on Nov 30th, 2015 at 9:56 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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His bankruptcy can eliminate his liability on the mortgage and if he stops paying it, it will destroy your credit. You need to consult a bankruptcy lawyer to review his bankruptcy documents and ensure that he reaffirms the mortgage. In most divorce decrees, failing to make the mortgage payments is contempt of court under the divorce decree.
Answered on Nov 30th, 2015 at 9:56 AM