my husband is being made bankrupt?

Question

will they freeze my seperate bank account and what assets will they take from our home ?

Answer 1

There are two purposes of bankruptcy:

(1) to give an honest debtor a "fresh start" in life by relieving the debtor of most debts, and

(2) to repay creditors in an orderly manner to the extent that the debtor has the means available for payment.

Based on this, you may not lose much at all, especially if your husband is the one initiating the bankruptcy. It lets creditors know that your attempting to make an honest attempt to pay all your debts. There are different chapters in bankruptcy. They are:

* Chapter 7 (a liquidation-style case for individuals or businesses),
* Chapter 9 (Municipal bankruptcy)
* Chapter 11 (a more complex rehabilitation-style case used primarily by business debtors, but sometimes by individuals with substantial debts and assets)
* Chapter 12 (a payment plan or rehabilitation-style case for family farmers and fishermen)
* Chapter 13 (a payment plan or rehabilitation-style case for individuals with a regular source of income)
* Chapter 15 (ancillary and other cross-border cases)

I really can't tell you much more because i don't know who initiated the bankruptcy, nor which chapter you'll be filing into. Just know that if you declare bankruptcy, you're credit, (or in this case, your husbands credit) will be in the toilet and bankruptcy stays on the credit report for years, (the most common number i've heard is seven, but i think it can be more or less depending on the chapter you're filing under). There are alternatives to bankruptcy; you may want to check your options...unless bankruptcy is being forced upon you. I read other answerers telling you to get a lawyer. I would talk to your bank first...there the experts in finance...or at least, they're supposed to be. They can give you some advice on how to fix this.

Answer 2

IT depends on the state you live in. Most states these days are community property states, so if he is going bankrupt, you are too. They will only freeze your assets and repossess property if you file a certain type of bankruptcy, Chapter 7, 11, or 13. It is probably better they repossess some of your stuff, and they only take stuff on monthly payments, cars, boats, etc. They usually cannot freeze any actual cash you may have, unless you maxed out all your credit cards on purpose prior to bankruptcy. Dont worry. Everything is going to be ok, and it will teach you a valuable lesson.

Answer 3

Get thee hence to a lawyer or credit councillor to learn about how your bankrupcy is going to effect you, because they can and will come after every cent you think is yours. Since the creditors are getting a few cents on the dollar from the money they've lent you so you can live outside your means, don't be a jerk to them about it.

You should be able to keep your home. Bankcrupcy is not the end. It will actually protect you. People you and your husband owe money to will have to settle with a fraction of what you owe them and not be able to harrass you again.

You'll have to pay cash for things for the next 7 years or so, no credit cards, no loans, but it can rescue you from debt that you can't see a way out of.

Take this as the blessing it is, and seize the chance to restart your life with a fresh clean slate, debt free.

Answer 4

Have you tried looking at the possibility of an IVA ?!?!?!?

I went down this root when I was having hard times and even though it was a hard thing to get through I am know fully debt free.

There are plenty of companies advertising on the TV at the moment or simply take a trip to your nearest Citizens Advice.

I offered to pay back my creditors in full but you can sometimes get a debt reduced and also all the interest on your existing debts will be frozen if the agreement is accepted.

Answer 5

In Canada.
My husband went bankrupt, I didn't. Any marital property is assessed but you are still entitled to your portion. Not sure About your bank account. Go see a separate trustee than your husband for advice. I know how hard this is but you'll be fine. We're three years past now and things are good.

Answer 6

I don;t know the new laws. But if you file under Chapter 7 you have an amount of protection for personal property. They will look at your home insurance to see what value personal property you have.
If you have separate accounts then yours will be safe. If your husband has a legitimate to pay ou for ANYTHING. Have him write you a check for "services" or whatever and transfer his outstanding cash into your account. This could even be an anniversary or birthday present. I believe it is up to $40,000 between husband and wife tax free.

Answer 7

My husband was nearly made bankrupt by his b****h of an ex, but after 4 and a half years of struggling we've just paid the last instalment of the last debt, and now we're going to have a brilliant xmas :o) You don't have to go for bankrupsy, co-operate with who you owe money to, struggle like mad and 'live on love'. We did and have got a load of great stories about how everything of value we owned could fit into a shoe-box, and it's nice having the knowledge that we got ourselves out of it! PS: We managed all this with a baby and we've never argued about money, instead we've ended up with a VERY solid relationship!

Answer 8

first of all he is not being made bankrupt, he put himself in a position to be bankrupt. the best thing to do is seek counseling from a financial counselor and they will be able to guide him in the right direction on what to do, i did and i was able to consolidate everything for a once a month payment. today it's not easy to file bankruptcy the laws are changing. as far as your asset's they can be protective, but it may not be all legal. use your head in a situation like this. you want born yesterday.

Answer 9

If you own the house jointly they will force it to be sold and use your husband's half to pay the debts i'm afraid. Your bank account is fine they cannot touch it. You need professional legal advice on this matter. Bankruptcy only last for 12 months now.

Answer 10

in case you report financial ruin you do not ought to contain the living house because you'll not be in a position to benefit on the sale. and how became your husband MADE bankrupt? you in ordinary words bankrupt your self through having into over your head.