Filing for Bankruptcy in Florida When Married, What You Need to Know

If you are thinking of filing for bankruptcy in Florida and you are married here is what you need to know:

There are three types of way that a married person can file for bankruptcy in Florida:

Both Spouses File For Bankruptcy – The first option would be that both spouses file for bankruptcy.  In this instance each spouse can include his or her debt whether owed jointly or solely.  Debtors will be allowed to take double the allowed bankruptcy exemptions.  When filing jointly BOTH INCOMES are included in the bankruptcy as well as their combined expenditures.

Married and not Filing Jointly  Same Household–  The second option on filing for bankruptcy when married is “not filing jointly without declaration of separate household.”  What that basically means is that you are married and you live in the same house as your spouse, however your spouse will not be filing for bankruptcy with you.   Because the spouse still lives with the filing debtor BOTH incomes must be included as well as both expenditures.   In this instance the filing debtor will be able to discharge his or her debt but not the debt of the spouse.  The non-filing spouse’s credit will not be impacting by their partners’ bankruptcy.   The benefit of not filing jointly is that any asset that is titled in both names or is owned jointly is fully exempted in the bankruptcy.

Married and not Filing Jointly, with Declaration of Separate Household – The third option for filing for bankruptcy when married is “with declaration of separate household.”  What this option basically says is that the debtors are separated and live in separate households.  The debtor must be willing to swear in court that the information is correct.  This third option allowed the debtor to only include his or her income and doesn’t require the debtor to provide the income of the spouse that is not living with them.

If you are married and thinking of filing for bankruptcy in Florida then please contact Shmucher Law, PL at 305.741.5553 or 954.309.5559 to schedule a free consultation in any of our office locations including Boca Raton, Fort Lauderdale, Miami, Plantation and Sunrise Florida.

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