Waverly, FL Bankruptcy Law Firms & Lawyers

An attorney can file a joint bankruptcy for both of you as long as you are married. An attorney can also file a separate bankruptcy just for your husband. If only your husband files, any debts in your name or joint names will become your sole obligation. One attorney could file your joint bankruptcy, but would have a conflict of interest in representing either of you in the subsequent divorce. By filing a joint bankruptcy before you divorce you can not only pay one filing fee for both of you, but you can also eliminate the marital debts as an issue in your upcoming divorce.

The HELOC can be discharged by a Chapter 7 bankruptcy but don't expect the lien or 2nd mortgage associated with this loan to disappear with your discharge. In order to remove the lien, you would have to pursue a Chapter 13 bankruptcy with a lien strip. Another option could be to discharge the debt in the Chapter 7 and see if the lien can be settled down the road with a lump sum payment. Completing a Chapter 13 lienstrip would be a certain way to eliminate the HELOC lien, the other option involves risk as there is no guarantee of results. You will want to consider what you can afford and how much risk you feel comfortable taking.

Bankruptcy may be an option or work out an arrangement with the debt collection company but I suggest your contact an attorney familiar with bankruptcy/collection law.