Ultimately, each party in the divorce tends to blame the other for their financial problems, which results in an endless cycle of finger-pointing about everything else that is wrong with their marriage. This underscores the reasons why communication about financial matters is so important to a successful marriage.
When couples enter a Colorado Springs law firm, they often think that a divorce will make their financial decisions easier, but unfortunately you cannot get divorced from marital debt. Getting a divorce may actually exacerbate the problem because each party will now have higher living expenses on top of their share of the marital debt load. For this reason, it makes more sense to file for bankruptcy before you file for divorce. Remember, creditors are not bound to the terms of your property settlement, so if one of you files for bankruptcy after the divorce, creditors may look to the other one to satisfy their debts. Imagine your surprise if you were to learn that you are 100% responsible for the marital debt, especially when you no longer have your spouse’s income to rely on.
Filing for bankruptcy before a divorce is not without its own set of complications, however. Doing so will require you to work together, and that could be impossible when your relationship has deteriorated. If you have concerns about how your current financial situation and potential bankruptcy will affect your divorce settlement, a Colorado Springs law firm can help. Contact the Marrison Family Law LLC for a free consultation.