Does Filing for Bankruptcy in Quebec Affect My Spouse?

Filing for bankruptcy in Quebec does not directly affect your spouse.

You are responsible for your debts, and your spouse is responsible for theirs. Marriage or common-law does not automatically make a person responsible for their partner’s debts.

However, a bank commonly asks both spouses to co-sign a loan. If your spouse has co-signed your loan, they are responsible for the full amount owing on the loan if you go bankrupt.

If all of your debts are in your name, your bankruptcy will not affect your spouse's credit rating. However, the bankrupt spouse might not qualify as a co-signer in the future due to the bankruptcy. This being the case, one spouse's bankruptcy may have an indirect impact on the other spouse.

You should also be cautious of joint or supplementary credit cards. You may believe the card is only in your name, but if your spouse has a card with their name on it, and if they have used the card, they are probably responsible for the balance owing on the card.

These matters are complicated. It is often difficult to determine if a credit card is a joint card, or just a supplementary card.

If you are considering filing for bankruptcy in Quebec and want to know how filing for bankruptcy in Quebec will affect your spouse, please contact a licensed Quebec bankruptcy trustee today.