Joint debts with 1 spouse submitting CP

September 28th, 2011 by Questions

My wife has been unable to work for the last couple years due to prolonged illness. This has seriously strained the demands on my income supporting a household of 5. I’ve begun weighing our options, and one consideration has been a scenario with her filing a CP, as there are some debts thay are being carried solely in her name. However, my question is how would her filing a CP affect our joint unsecured debts? Would I be held completely responsible without also filing for a CP as well?

Posted from: Alberta

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One Response to “Joint debts with 1 spouse submitting CP”



, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

You are correct, if your wife files a consumer proposal this will result in you being solely responsible for the joint debts. Now depending on the size of those joint debts you may need to look at filing a joint consumer proposal, that way you could settle both of your debts and likely make it easier to cover the living costs associated with a family of 5. For an idea of what type of offer you would need to make, whether a joint proposal is warranted I would recommend you contact a local trustee and they will be able to quickly walk you through the proposal process and determine if it will be able to assist with your current predicament.

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