Line of credit carrying the name of both my ex-husband and I.

September 14th, 2015 by Questions

A line of credit carrying the name of both, my ex-husband and I. According to our divorce agreement, he is solely responsible for paying it off, yet the bank won’t remove my name from it. What it will happen with it in the context of declaring bankruptcy?

Questions

One Response to “Line of credit carrying the name of both my ex-husband and I.”


September 14, 2015 at 3:04 pm, Doug Stuive, CA | Trustee | CIRP said:

When you are co-borrowers on an account you are both equally liable for the debt . Even if family court indicates that one of you is to take on the payment of a particular debt the creditor has no obligation to remove your name from the account. Should your ex-husband declare bankruptcy, this debt will fall on you and you will have to maintain those payments despite your divorce agreement. In the same way you deal with asset and support issues when separating, the debt should be looked at by a professional. If the debt is not affordable for either party it may be time to consider filing a bankruptcy or consumer proposal at the same time to ensure you are both protected.

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