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Call us for a consumer proposal and other debt solutions Winnipeg or — a free, no obligation, confidential consultation in person or over the phone
Local: 204 594 7160
Toll Free: 1-866-941-6353

 

Spouse or partner in consumer proposal

In Winnipeg or throughout Manitoba, how will a consumer proposal affect my spouse?

If your spouse or partner never signed a contract or requested a credit card, they cannot be held responsible for the debt. In Canada, marriage alone does not make you responsible for your spouse's debts. A party is only responsible for repayment of a debt if they have signed a credit card application, a contract, or a loan agreement.

Will a consumer proposal relieve me of my child or spousal support obligations?

No, a consumer proposal does not relieve the bankrupt of any support obligations.

With credit cards, there are two ways in which the second party can be held responsible for repayment of the debt. One is where the individual actually requests a secondary card and signs an agreement saying they accept full responsibility for current and future debt. The other is where the credit card company sends a card out in the second individual's name with the primary cardholder's number and the second individual actually signs and uses the card. Use of the card will hold the secondary person responsible for any past and or future debt.

If you want to remove your partner or spouse from your credit card or loan document, you must get written confirmation from the credit card company or financial institution. If you do not obtain written confirmation, there is no guarantee the institution has removed the second party from their records.

In addition, responsibility for debt between spouses as listed in a separation or divorce agreement does not legally bind a financial institution or creditor. Unless you obtain concurrence to the division and re-assigning of responsibility of debt from the creditor, they have the right to pursue anyone who signed on the debt.

Discuss your options with us:

Call us in Winnipeg at 204-594-7160 or toll free in Manitoba at 1-866-941-6353 for a free, no obligation, confidential consultation.

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