Chapter 13 Bankruptcy: Before or After Divorce?

When you are considering filing for bankruptcy and divorce, there are a number of things that you need to know. By choosing to work with a Chapter 13 lawyer Orlando FL residents get legal advice every step of the way.

Repayment Plans

If you are having a number of financial problems, filing for Chapter 13 bankruptcy could be a great option. A court-supervised plan will be put into place so that you can pay creditors at least a portion of what is owed. Most repayment plans will last between three and five years. This means that if you get a divorce before the repayment plans are up, you are still legally tied to your ex after the divorce.

Dismissing Your Bankruptcy

Often, divorce during a bankruptcy is considerably more difficult. Many people instantly believe that the only thing to do is to dismiss the bankruptcy. However, there are still options available to you. It may be possible to make the regular plan payments as long as the two households don’t have a financial burden. There is also the ability to convert to a chapter 7 bankruptcy or modify the repayment plan.

Speak to a Lawyer

The best thing for you to do is talk to a lawyer who is experienced in both divorce and bankruptcy. This way, you can get legal advice that is personalized to your individual situation. You may find out that getting a divorce is still possible during a bankruptcy while still overcoming some of your financial challenges.

Bankruptcies and divorces are both hard. When you’re dealing with both at the same time, legal representation can be invaluable so that you get the support that you need.