If I file for bankruptcy is my spouse affected?

You current spouse isn't required to file bankruptcy with you, however, her income will be considered part of your household income for determining if you qualify for Chapter 7 or have to file a Chapter 13. In addition, whether you can be discharged from the debt on?the joint debt with your former spouse depends on the terms of your divorce/dissolution.

Whether your spouse is affected by your bankruptcy filing depends on several facts not provided. You should consult with a bankruptcy attorney who can review all of your facts and circumstances. If you are still on title to real property that was awarded to your ex-wife through a property separation judgment during your divorce, then the automatic stay applies to the lender conducting the foreclosure of that property.

It's not clear which spouse you are concerned about, or whose house is being foreclosed upon. Assuming your ex-wife is still in the house you co-owned with her, and she has been unable to make the payments, I surmise that you are contemplating bankruptcy to avoid liability for the defaulted mortgage. If my assumptions are correct, it is still not certain that you would need to file bankruptcy because of the foreclosure, and your current spouse could be affected financially if you are forced to file a Chapter 13 bankruptcy in the event that your income or assets exceed the limits of a Chapter 7. The "means test" requires evaluating all the household income for you and your current spouse, and you would be viewed as an economic unit even if your current spouse does not file with you (and that is not uncommon.) So I would advise you to wait and see what happens with the foreclosure, and if you are held liable for a deficiency between the auction price and the mortgage debt, then you can do a cost-benefit analysis of the advantages and disadvantages of a bankruptcy.

In a Chapter 13, they will want to look at your wife's income and expenses (e.g., her own car payment, her own medical bill payments, her own charge card payments, etc.). Generally, a non-filing spouse has very little affect on the Chapter 13. By all means, of course, confer with your counsel.

Well, if your ex spouse's name is in the mortgage, the fact that the payments aren't being made and that the property is in foreclosure has already affected your ex wife in a negative way. You filing bankruptcy won't make much of a difference other than the mortgage payments will no longer be reported on her credit.

Texas is a community property state so your wife's income will be considered in your bankruptcy. She does not need to file but your eligibility to file and any payments you must make if you choose to file a 13 to save the property would be determined including her income.

If your former spouse was a signer on the note, she will be subject to a judgment lien. If the spouse you are asking about is a current spouse, the answer is no, unless you have joint debt, and after you discharge the amounts owed, she would still be responsible for the balance on any debt in your joint names. Your current spouse's dower interest will be listed and foreclosed in the action that is pending. She would not be subject to a money judgment however, unless she signed the note.

Unfortunately, there is no clear-cut answer to your question. The true answer is: "It depends." Yes, your wife can be affected by your bankruptcy - indirectly. Her income must be disclosed and included in determining your financial circumstances and your ability to pay some of your debt. Her expenses, too, are relevant. You should consult with an experienced bankruptcy attorney, and you should bring your wife alone for that consultation. Good luck!

These are separate issues. Your bankruptcy will stop the foreclosure sale if you notify the lender. Assuming you live in California, the lender cannot sue to recover any deficiency on the sale and your ex-wife is entitled to her exemption amount if the house gets sold through your bankruptcy, as you are. Talk to your lawyer before you do anything because the rules are very tight. Good luck.

It's hard to say for sure. Your filing does not affect her debts. She will still owe her creditors. What it means for you is that if there is money owed on the home even after it sells through the foreclosure process the bank cannot collect from you, they can only try to collect from her. Whether they do so depends on the bank and its policies in these situations. What that means for you also depends on whether your divorce agreement/judgment covers such a situation.