The financial consequences of divorce can leave many people devastated. From division of property to alimony to shared debt to child support, former spouses, especially if they have kids together, are often joined at the hip financially for years after their divorce is final. However, there are certain financial moves that divorced or divorcing spouses can make that may not necessarily impact their ex’s finances as much as others. One of those financial moves is bankruptcy.
Does Filing Bankruptcy Affect Divorce in New York?
Bankruptcy has little to no direct impact on divorce in New York. The laws in New York regarding bankruptcy and divorce are restrictive. For the most part, debts that are the result of a divorce are not dischargeable under bankruptcy law. Specifically, debts like child support and alimony payments cannot be discharged through Chapter 7 or 13 bankruptcy. If a person has their debt discharged through bankruptcy, they still must continue to make their alimony and child support payments in full and as scheduled.
While bankruptcy does not have a direct impact on debts that are a result of divorce, it can help ease the financial burden on a person who must pay child support or alimony. Once their other debts are discharged, it should be easier for them to afford to pay alimony and child support on time and in full for as long as necessary.
For a more in-depth explanation of the affect bankruptcy can have on divorce, you should speak with an experienced divorce attorney about your situation. There may be issues specific to your unique circumstances that impact how bankruptcy would affect your divorce.
Speak with Our Experienced Divorce Lawyers About Your Situation for Free
At Levi Divorce & Family Law Attorneys, we understand the financial pressure that can come with divorce. Whether you are receiving child support and alimony or paying it, your financial circumstances can be a struggle. Our experienced legal team has a deep understanding of the laws regarding divorce, child support, and spousal maintenance. We may be able to figure out a way to ease the financial burden you are under.