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Marriage while bankrupt

If a person gets married during their bankruptcy how does this effect their allowable income? Also is there any effect on their new spouse who had no part in the previous debt and does not benefit from any part of the bankrupt`s income?

Posted from: Alberta

One Response to “Marriage while bankrupt”

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Barton Goth – Goth & Company Inc. -Trustee in Bankruptcy said...

If you get married during bankruptcy this may impact your surplus income obligation as the calculation is based on your percentage of the total household income. What happens is your deduction level goes up, but at the same time there may also be an impact on your payment.

While the cost of bankruptcy may be altered somewhat the bankruptcy really won’t have any direct impact on your new spouse, marital status and debts are largely separate.