Kit Carson, CO Bankruptcy Law Firms & Lawyers

Spousal support is one of the debts that is not dischargeable by bankruptcy. In fact, spousal support must be paid before any other creditor. I would recommend obtaining the services of bankruptcy attorney. If the trustee liquidates any assets, your claim will be paid off first. If the trustee is not liquidating assets, your lawyer can negotiate a monthly payment amount in the interim. It may be worth it to consider filing a non-dischargeablity complaint to make sure you interests are protected. If your ex-husband does not have the funds currently, you may be forced to accept delayed payments as he catches up on the obligation.

You may not want to file a bankruptcy if it has been more than 5 years since you stopped paying your credit card debts. If no creditor obtained a judgment against you, the debts will no longer reported on your credit report once the debts are more than 7 years old. A bankruptcy would hurt your credit and start a new clock running with at least a three year negative impact. You need to meet with an attorney who can go over your credit situation and then you can make a decision whether you are likely to be better off simply waiting a little longer or going ahead and filing a bankruptcy. Of course, this is a balancing situation and good advice is important to help you weigh your options.

A loan modification would be the equivalent of a Reaffirmation in the sense that in lieu to foreclosure you are saying that with the modification you will continue pay.