Divorce and Chapter: What are Your Choices?

by WomansDivorce Employees, up to date by Tracy Achen November 11, 2025 

It is an unlucky incontrovertible fact that divorce and chapter appear to go hand-in-hand. For some individuals, there’s the monetary pressure of overwhelming debt that results in the breakdown of their marriage. And others wrestle to get by after their divorce, particularly in the event that they make a lot much less cash than their ex and are saddled with lingering marital money owed.

If you happen to’re going through divorce and chapter is one thing you are contemplating, there are some issues it’s essential to bear in mind earlier than continuing. On this article, you may discover out why the 2 usually happen in tandem, the potential impression of chapter in your divorce and funds, and whether or not it is best to file for chapter earlier than or after your divorce. 

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Divorce and chapter statistics

It is no secret that divorce is an amazing anxious occasion in most individuals’s lives. In addition to the authorized prices of getting divorced, every partner’s bills typically take an even bigger proportion of their earnings as a result of they’re not sharing bills. And, if one partner has to discover a new job, little one care prices might also be added to the listing of bills needing to be paid.

• Statistics on chapter present that 78% of the individuals submitting for chapter mentioned a decline of their earnings was the principle purpose, whereas roughly two-thirds of the individuals accomplish that due to medical hardships (1). Different causes embody overwhelming debt, extreme spending, and job loss. Sadly, getting divorce can also be cited as a purpose as a result of it has such a huge effect of earnings and bills. 
• Divorce impacts the monetary stability of each spouses. For instance, a girl’s family earnings drops by 41 % when she will get divorced, which is sort of twice the drop skilled by males (2). Moreover, spouses stay financially answerable for joint money owed, even when their ex was ordered to pay the debt. 
• Many divorces at this time embody orders for alimony or little one assist. For individuals struggling to get by on one earnings, their paycheck simply will not stretch far sufficient to satisfy these obligations and nonetheless be capable to pay the opposite payments. 

Do you have to file for chapter earlier than or after divorce?

When individuals going through excessive monetary points take into account getting divorced, in addition they want to consider the potential for chapter and when it ought to be filed. Relying on particular person circumstances, chapter could also be higher both earlier than or after divorce.

For instance, if the mixed earnings for you and your partner is beneath the earnings restrict for submitting Chapter 7, it is most likely greatest to file for chapter earlier than submitting for a divorce. 

If the mixed earnings for you and your partner exceeds the bounds for submitting Chapter 7, it is a good suggestion to attend to file for chapter till after your divorce. Then the chapter submitting can be based mostly in your earnings alone.

In case you are considering chapter and have not but filed for a divorce, it is best to take into account consulting with a chapter lawyer earlier than dissolving your marriage to search out out one of the best ways to proceed. 

Advantages of submitting for chapter earlier than divorce

Lots of married {couples} face overwhelming debt with none option to repay all these money owed within the foreseeable future. Mix that with the truth that family earnings normally decreases because of divorce, and you’ve got a recipe for monetary catastrophe.

If this describes your state of affairs, you may need to take into consideration collectively submitting for chapter along with your partner, particularly if nearly all of the money owed are in each your names.

If you happen to collectively file for chapter earlier than your divorce, you can keep away from most of the complications concerned in negotiating the division of belongings and money owed, as a result of most of this can have been settled by the chapter proceedings. Additionally, a pair can save a major amount of cash in authorized charges if each spouses file for chapter collectively, versus submitting individually after divorce.

To qualify for Chapter 7 chapter, you should go a method take a look at, which compares your common family month-to-month earnings over the previous six months to the median earnings on your state and family dimension. In case your family earnings exceeds the bounds, you may want to contemplate different choices, comparable to submitting for chapter individually after your divorce. 

Chapter after divorce

It is essential to notice {that a} joint chapter submitting isn’t out there to divorced {couples}, even when a lot of their money owed are held collectively.

If you happen to aren’t capable of qualify for chapter earlier than your divorce, it could be a chance afterwards because of your decreased earnings. And submitting individually will assist you to handle your individual debt individually. However it’s essential to notice that each spouses are held accountable for the compensation of joint money owed, no matter how the money owed are divided of their divorce settlement. It is because collectors usually are not certain by a divorce settlement.

As a result of a partner might be held accountable for money owed which had been assigned to the opposite partner in a divorce, it is essential to contact your ex-spouse in the event you’re contemplating submitting for chapter. 

How the automated keep impacts divorce continuing

Whenever you file for chapter, an “automated keep” is initiated that stops most authorized actions involving your money owed and property. This contains divorce continuing, as a result of all of the marital belongings can be included within the chapter property. This additionally means these belongings cannot be divided in a divorce till the chapter is concluded.

If you happen to file for chapter case throughout your divorce, you should notify the court docket that you’ve got filed. Most divorce proceedings can be stopped till the keep is lifted. The automated keep makes exceptions for important household obligations. Points regarding little one custody, little one assist, and alimony can nonetheless be addressed by the household court docket regardless of the chapter submitting.

The automated keep will stay in impact till the chapter case is closed, dismissed, or the debtor is granted a discharge. How lengthy lengthy this takes will rely upon the kind of chapter filed. A Chapter 7 submitting could solely briefly pause the division of property, whereas the compensation plan of a Chapter 13 submitting may prolong the automated keep for for much longer. 

Sorts of chapter: Chapter 7 vs. Chapter 13

There are two varieties of chapter that may be filed for by most people:

• Chapter 7 Chapter (liquidation): This kind of private chapter presents petitioners an entire discharge of many unsecured money owed (money owed not hooked up to any property). This contains bank card balances, medical payments, private loans, and payday loans. Most Chapter 7 chapter circumstances typically take 4 to six months to resolve. 
• Chapter 13 Chapter (reorganization): This kind of private chapter permits the petitioner a interval of three to 5 years to get present on their past-due money owed by making common funds in a compensation plan. It tends to work greatest for those that have a reliable earnings supply and/or important non-exempt belongings or property they need to maintain on to.

Take into account that how the money owed are designated by the divorce court docket could not maintain up in a chapter court docket. For instance, if a partner is assigned a joint debt within the divorce after which information for Chapter 7 chapter, the collectors can nonetheless come after the opposite partner for compensation. 

How chapter impacts alimony and little one assist?

Chapter doesn’t remove alimony or little one assist obligations as a result of these are thought of non-dischargeable money owed. Even when somebody information for chapter, they’re nonetheless required to pay any ongoing assist and any past-due assist that has collected.

Further varieties of money owed which aren’t dischargeable in chapter proceedings embody:

• scholar loans 
• most tax money owed 
• money owed incurred by fraud or legal acts 
• court-ordered fines and restitution

So, in the event you’re struggling to make little one assist or alimony funds, you may have to have your assist orders modified by the household court docket, not the chapter court docket. Although the varieties of money owed listed above usually are not dischargeable, chapter can nonetheless give you monetary aid by excusing you from different money owed.

Having a talented legal professional who’s educated in each household legislation and chapter is essential if you’re going through the prospect of each. They may also help you perceive and navigate the complexities of the authorized course of and decide if it might be greatest to file for chapter earlier than or after your divorce.