QUESTION

What can be done if wife incurred debt in Chapter 13 which I filed solely?

Asked on Mar 27th, 2017 on Bankruptcy - Michigan
More details to this question:
I've been in a Chapter 13 bankruptcy case since 2012. I am 100% into plan, no skips in payments or any other issues. I will discharge it on November of this year. I got married in August and had a job change. My lawyer amended my schedules I+J with our household expenses and my plan didn't modify because I was already at 100% to unsecured creditors. My wife decided to trade in one of her cars for a more expensive car (still doesn't compromise the plan because our DMI allows for extra expense and I'm paying at 100% right now). I know that as a debtor incurring any form of debt requires court/trustee permission so I've not incurred debt. But my wife incurred a lot of debt with the new car and a credit line to fix her house. I talked to my attorney about this and he said even in our state which is a community state, as long as I did not co-sign the loan or apply for credit there is no permission needed and my wife can do whatever she wants. Not that I'm doubting my lawyer, but I'm just curious as to how all this works. I'm getting ready to start a second job which will add $100,000 per year to my plan at which time we will amend I+J again. I was just concerned with my wife buying herself a new car and opening a credit line. I'm assuming my lawyer knows what he's talking about so I let him handle it, but I guess you could say I'd like to hear thoughts from other attorneys regarding this situation. I'm so close to being discharged and don't want to end up having a dismissed with prejudice or anything like that because of my wife's spending habits. It should be noted that I filed solely in 2012 and she was never part of my Bankruptcy plan besides including her income and expenses as part of the amendment when we got married.
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2 ANSWERS

Bankruptcy Attorney serving Las Vegas, NV at A Fresh Start
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When you pay 100%, the bankruptcy trustee will overlook a lot of issues that in other circumstances, might be a problem. Obviously, you never know a woman until you either marry her or divorce her, and you have no legal control over what your wife does. I am sorry to hear that you do not trust your lawyer in this regard, but have to warn you that it sounds like your marriage is in trouble.
Answered on Jun 22nd, 2017 at 6:54 PM

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Bankruptcy Attorney serving Grand Rapids, MI at David Andersen & Associates, PC
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Your attorney's advice is correct.
Answered on Jun 22nd, 2017 at 9:57 AM

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