Expert: Terry Leeders - 2/5/2009

Question
I may need to file Chap 7 Bankruptcy.  I am also planning to marry.  I incurred all debts individually.  If I file AFTER marriage: (a) will my wife's assets be in danger, (b) will her income affect the means test calculation?

Answer
Only debts incurred while married in a community property state are both parties responsibility. (Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington & Texas.) If you do not live in one of these states, then both spouses do not need to file. The court does look at household income/expenses for the 6 months leading up to the case from all sources, so both incomes may be calculated in the case, but you are not required to file jointly.  If you file individually, her assets are not affected.