How Does Divorce Affect Bankruptcy?
Divorce is not just a difficult time in terms of emotions—it can also cause a number of financial difficulties. Legal fees can add up, and splitting assets can make post-divorce life very challenging. If you’re in the midst of a divorce, you should have an attorney ensure that your financial interests are properly represented.
In this video, an attorney discusses the relationship between divorce and bankruptcy. Though divorcees were once able to discharge debts that arose out of divorce, the Bankruptcy Reform Act of 2004 eliminated that possibility. Today, divorcees who find themselves in financial trouble must file for bankruptcy under normal circumstances. Their post-divorce financial obligations cannot be discharged through any other means.