QUESTION
Will I be accountable if my wife files for chapter 7 bankruptcy?
Asked on Jul 27th, 2011 on Bankruptcy - Virginia
More details to this question:
I have an account with USAA and my wife is on my account, but when I view all my account details it is just my name and when I view my account info my wife shows up under my family members. Anyways my concern is if my wife files chapter 7 will they freeze my account/our account? She is filing on credit cards only, but one of them happens to be from USAA. The credit cards are in her name only and she has a separate USAA account for that card. My accounts show my stuff and my daughters accounts, but nothing of my wifes account. Should I remove her from my checking and savings or not worry about it? She lost her job and the only money going in the accounts is from my job.
5 ANSWERS
Samuel Lee Tucker
To be on the safe side I would remove her as owner of any account. Usually such accounts cannot be frozen or seized.
Answered on Jul 28th, 2011 at 2:03 PM
Glen Edward Ashman
Removing her from an account right before filing could get you sued. The answer depends on how the accounts are set up and you need to have a lawyer look over the details.
Answered on Jul 28th, 2011 at 12:20 PM
Utah is a common law state, meaning that your assets are yours and hers are hers. Her obligations are hers and do not necessarily become yours. USAA can attach or offset funds in any account to which her name is attached. If she is attached to your account, it may be too late to have her name removed if she has already filed for Chapter 7 relief. If she has not yet filed, I would remove her name from any accounts other than her own.
Answered on Jul 28th, 2011 at 8:36 AM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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If you are a co-obligor on your wife's account you must pay it in spite of her chapter 7. You are not liable for accounts only in her name. Her discharged creditors cannot collect against you or your property, such as joint checking accounts.
Answered on Jul 28th, 2011 at 8:23 AM
Bankruptcy Attorney serving Herndon, VA
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Maureen O'Malley
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Check with USAA to see exactly how the accounts are set up. I'm assuming you're talking about checking accounts. If you're on a joint credit card account, you'll be liable and USAA should not post it on your credit report, but I'd check it anyway.
Answered on Jul 28th, 2011 at 5:18 AM