How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask cfortunato Your Own Question
cfortunato
cfortunato, Attorney
Category: Bankruptcy Law
Satisfied Customers: 8023
Experience:  Bankruptcy professor.
14232603
Type Your Bankruptcy Law Question Here...
cfortunato is online now
A new question is answered every 9 seconds

I have been having ongoing marital and financial problems for

This answer was rated:

I have been having ongoing marital and financial problems for a few years. I have been emotionally and mentally abused my whole marriage of 18 years. His mother died in Jan. Since then he has been living with his father. I live in Louisiana, a community property state. As of last week he is getting his paycheck garnished over a credit card. Bankruptcy is imminent. A divorce will take a year because we have children. I don't think we qualify for Chapter 7 jointly. Does he need to move into an apartment to file jointly but seperated to claim his living expenses too? What documents are needed to claim his expenses at a different household? There is not a such thing as legally seperated in Louisiana. Do we need to file for divorce first? We have a 2005 caravan(no note), a 2005 ford explorertrac(300 note), and a 1996 ford ranger with 350,000 miles that is not working right now with plans to get it running for my 17 year old son. Will we have to get rid of the Ranger? Nada was like $800. There was a life insurance policy of $12000 that will be split between him and his sister. We have been afraid to cash it not knowing if it will be held against us.

cfortunato :

Hi - my name is XXXXX XXXXX I'm a Bankruptcy attorney here to assist you.

cfortunato :

Your husband does not have to live in his own apartment to file a Bankruptcy separately. To file separately, it is only necessary that both of you are living in separate households. It is okay if your husband is living with his father.

cfortunato :

The Bankruptcy court does not require proof of living expenses.

cfortunato :

There is a form that gets filled out that lists the Bankruptcy filer's expenses - but the Bankruptcy court does not ask for proof.

cfortunato :

Because the Bankruptcy filer must state under oath that all the information - including listed expenses - listed on the Bankruptcy paperwork is correct.

cfortunato :

This is sufficient proof for the Bankruptcy court.

cfortunato :

You do not have to be divorced before your husband files a Bankruptcy.

Customer:

What about the life insurance check?

cfortunato :

Some life insurance proceeds are protected. I am looking up the statute to see if his life insurance proceeds would be protected.

cfortunato :

I found the statute. Your Bankruptcy filer is allowed to keep up to $35,000 of life insurance proceeds, so he would be able to keep the entire amount of his portion of the life insurance check.

cfortunato :

Additionally, he would be able to keep any motor vehicle that is worth less than $7500 after deducting the balance of any note.

cfortunato :

And he would also be allowed to keep any car that is worth nothing - such as the Ranger.

Customer:

It is worth a headache. :)

Customer:

All three vehicles are in his name. I am a stay at home mom. Does that effect anything?

cfortunato :

And the Bankruptcy court dies not want any headaches.

cfortunato :

It is presumed that the cars are owned by both of you, even though they are in his name only.

cfortunato :

The Bankruptcy court would presume each of you owns one of the cars.

cfortunato :

And would not care about the one that is only worth a headache.

Customer:

Ok. Thank you so much. I am trying to make light of a very hard situation. I appreciate it.

cfortunato :

You're welcome. And remember that "this too shall pass".

cfortunato and other Bankruptcy Law Specialists are ready to help you
Customer: replied 3 years ago.

If we were to file this way, would he be able to take off what he pays me every month for child support and alimony even if it was not court ordered?

Thank you for the positive rating!

Your husband will be able to include child support and alimony as expenses on his Bankruptcy petition - whether or not those payments were court ordered.
Customer: replied 3 years ago.

Awesome! Thanks again!