I just got married and I was wondering if I am responsible for my partner’s old debts? The short answer is no. Just because you married each other, this does not mean that you have any liability to pay anything from your partner’s old debts. The old debts were his/hers before you got married – the liability to pay the old debts does not change. A word of caution. Do not sign anything that commits you to pay anything against your partner’s debts and do not request or accept a spousal credit card from your new partner. Keep your finances separate.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.
A debtor who has been discharged from bankruptcy or has completed a proposal has been relieved of all unsecured debts (with a few exceptions) –including a debt which led to a writ of execution being registered against the debtor’s property. The execution is no longer enforceable after discharge, as the debt itself has been discharged. However, the writ is not lifted automatically.
The first step in having a writ of execution lifted is to provide proof of discharge/proposal completion to the execution creditor’s solicitor, and request that the executions be removed. If the creditor’s solicitor is not co-operative, the discharged bankrupt should submit Form 60-O (REQUEST TO WITHDRAW A WRIT, links below) to the Sheriff’s office to request that the execution be lifted. If necessary, the debtor can bring a motion in court to have the execution lifted.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.
I’m living with my girlfriend! Am I liable for a girlfriends debts while we’re together?
No. You are not liable for her debts while you are together. The reverse is also true – she is not liable for your debts incurred while you are together. As well as neither of you is liable for each of your debts that either of you owed before you started living together.
Of course, if the two of you obtained credit jointly (i.e. – you both signed the loan or credit application) that you would make you both liable for the debt because it was loaned to the both of you. Similarly, if either of you asked the other to sign any papers or documents with respect to an old debt – be careful- read what was signed – you might have guaranteed the debt and become liable if your partner defaults on it. Also, be careful of giving your partner a supplemental credit card – the supplemental cardholder will be liable for anything they charged and, depending on the wording of the cardholder agreement, the supplemental cardholder may have made themselves liable for the entire debt on that credit card.
Please! Read everything before you sign anything. Ask questions and understand the answers before becoming liable for another person’s debts.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.
You are in debt and do not know what to do or who to speak to. In years gone by there would be a father or uncle to speak to. Today there is the internet. The trouble with the internet is it generates too much information and usually cannot answer all of your specific questions. Generally, there are informal or formal arrangements that can be made with your creditors.
Informal arrangements are offered by debt management companies, credit counselling services and some financial services companies. They will consolidate all of your monthly payments into a single payment. They will try to lower the monthly interest charges and will attempt to reduce the principal of your debts. The downside is that not all creditors will agree to do anything other than accept the payment from your debt management provider. In other words, your creditors accept the payments but do not agree to reduce the interest or principal amount of your debt. A written agreement must be made with each creditor as to what the creditor is agreeing to. The last thing you need to hear is that the interest charges are still being charged during your “debt program.”
A consumer proposal is an option when you wish to stop the interest from your creditors and reduce the outstanding principal of your total debt. A Trustee in Bankruptcy licensed by the Federal Government is the only person who can file a Consumer Proposal on your behalf with your creditors. The trustee will work with you to prepare a budget which will determine what you can afford to pay. The trustee will prepare all of the papers and negotiate a reasonable settlement with all of your creditors. The negotiation is done with all your creditors as a group, the majority of which binds the entire group.
If you own a house that has equity in it, your trustee can also assist in dealing with a mortgage broker to fund a payment to high interest credit cards and reduce your monthly minimum payments using a debt consolidation plan. As a last resort there is always the bankruptcy option which the Trustee in Bankruptcy can also explain to you. There are many options for you to consider before you choose what is best for you. The first meeting with any of our staff is always free and always confidential.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.
Marriage and Debt
Marriage and Debt
I’m living with my girlfriend! Am I liable for a girlfriends debts while we’re together?