Long term disability

Our situation is also very complicated. 2 years ago , my husband began a business building homes, shortly afterwards , I was diagnosed with breast cancer, had to stop work . Due to my sickness at the time, my husband had to take care of me and placed a contractor in charge while he did so. This contractor made a horrible mess, stole money and my husband had to spend alot of money to fix all the problems afterwards. The story being a long one and complicated, I want to shorten the story. Finally after carrying the homes and building them they have sold, but the incurred costs, the interest paid, etc. has caused a tremendous amount of debt. Because of cancer, I was able to get long term disability. I don’t know what is going to happen to us, but realistically we may have to look at personal bankruptcy, since the debt will be about 300,000…more than we can handle at this time. My husband and I have always paid our bills, we had the best credit ratings around until now. To help us to live, since I was not able to work, we have had to use also my credit. If I were to claim bankruptcy, would the long term diability also be taken away from me?
Many thanks for your time and advice,

One Response to “Long term disability”

A licensed trustee said...

Generally no, long term disability is not taken away from you if you go bankrupt. I suggest you contact a bankruptcy trustee to review your debts and your disability policy to determine whether or not a bankruptcy is the correct option in your situation.