surplus income and old debts 5+ years

Can you please advise what the process is to go bankrupt if I recently got remarried? All of my personal debt is prior to getting with my husband but when I do an online surplus calculator it shows a payment of $3000.00+/month.
I am on covid and most likely will not be returning to my employer as they have done dramatic employee cutbacks therefor I get covid 2000.00 / month until October 3rd when I transition to EI I will get about 1800.00 / month.
My husband earns over $100,000.00 annually. We do not have children together, we do not own a home, he was never on any of my debts which are from 2015 including a voluntary reposseaaion of a home. My outstanding debts pre 2015 are very high probably in the 80K range.
I have begun to reestablish with a vehicle loan that is in i-1 standing and credit karma shows that my score is aproximately 645. I am unable to secure any other trades (credit cards or loans as the old debt is still showing) . I have no intention on indebting the way I had previously and am cautious of enuuring my car is paid on time monthly.
If I do not go bankrupt on the old debts will they eventually come off my credit bureau?
Category: asked September 23, 2020

1 Answer


Your Trustee will ask for details about the income for the entire household – i.e., your monthly net income and that of your husband.

The reason why is this: although your husband has no financial ties to your current debts, you benefit from residing with him as he (presumably) contributes to the household expenses. Therefore, if you benefit directly from your husband’s income then so should your creditors.

Therefore, the Trustee will need the household income to calculate how much of your debt you should repay in your bankruptcy proceedings through making surplus income payments to the Trustee.

With that being said, your husband needn’t disclose his income to your Trustee if he doesn’t want to. In that event, the Trustee will so notify your creditors that your husband refused to disclose his personal financial information.

Now, what you have to understand that the creditors can choose to use this non-disclosure on the part of your husband to oppose your automatic discharge from bankruptcy. In that event, you would have to attend bankruptcy court to apply for your discharge and the bankruptcy judge may require your husband to disclose his income to the Trustee to enable him/her to calculate your surplus payment.