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Unless you and your spouse have jointly held debts where they have specifically co-signed (or a supplementary credit card), there will generally be no impact to your spouse if you declare bankruptcy.

One spouse filing bankruptcy does not automatically mean that their spouse is also in bankruptcy, nor will a bankruptcy shift responsibility for the unpaid debts from one spouse to the other.

In the event your spouse is a co-signer, co-borrower or co-cardholder and you file bankruptcy, your spouse would remain responsible for repaying the full balance of the joint debt, less any funds that creditor receives as part of your bankruptcy. If unaffordable, your spouse may wish to consider their options for addressing their debts and seek advice from a Licensed Insolvency Trustee.

A Licensed Insolvency Trustee can assist you in exploring options to manage your debts and whether bankruptcy or another solution may be ideal for your specific situation, as well as that of your spouse.

Read more: Am I responsible for my spouse’s debts?

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