Should I File for Bankruptcy Before Getting Married?

Planning a marriage is one of the most exciting chapters in a person’s life. It is a time filled with decisions about the future, from choosing a home to starting a family. However, when one or both partners are carrying the weight of significant debt, these joyous preparations can be overshadowed by financial anxiety. The prospect of bringing substantial liabilities into a new marriage raises serious and practical questions. One of the most common is whether it makes sense to seek a financial fresh start through bankruptcy before saying, “I do.”

Making this decision involves navigating a complex interplay of legal, financial, and personal considerations. For couples on the Mississippi Gulf Coast, understanding how state law and federal bankruptcy procedures interact is a vital first step. 

How Mississippi Law Treats Pre-Marital Debt

A common misconception is that upon marriage, you automatically become responsible for your new spouse’s pre-existing debts. In Mississippi, this is not the case. Mississippi operates under a “separate property” or common law system, not a community property system.

This legal distinction is important. In a separate property state:

• Pre-Marital Debts Remain Separate: Any debt you incurred before your marriage—such as student loans, credit card balances, or medical bills from before the wedding—remains your sole legal responsibility. Your spouse is not liable for these debts.
• Post-Marital Debts Can Be Joint: Debts incurred after the marriage can be individual or joint. If you and your spouse open a new credit card together or co-sign for a car loan, you are both legally responsible for that debt. However, if your spouse opens a credit card in their name only after the wedding, that debt is generally theirs alone.

While your spouse may not be legally liable for your old debts, those financial obligations can still impact your shared life. Aggressive collection actions, wage garnishments, and a low credit score can create immense stress and limit your joint financial goals, such as qualifying for a mortgage.

What Are the Primary Benefits of Filing for Bankruptcy Before Marriage?

For many individuals, the strategic advantages of filing for bankruptcy as a single person are compelling. Taking this step before marriage can create a clearer path for your financial future as a couple.

Key Advantages Include:

• Protecting Your Future Spouse’s Credit: When you file for bankruptcy individually, the filing appears only on your credit report. Your fiancé’s credit history and score are completely unaffected. If you wait until after you are married to file jointly, the bankruptcy will be recorded on both of your credit reports, impacting your combined ability to secure credit for years to come.
• Simplifying the Legal Process: A bankruptcy case for a single individual is generally more straightforward than one involving a married couple. The paperwork is less complex, as it involves only one person’s financial history, assets, and liabilities. This can often lead to a smoother and faster process.
• A More Favorable Means Test Calculation: To qualify for Chapter 7 bankruptcy, you must pass the “means test,” which compares your income to the median income in Mississippi. As a single filer, only your income is considered. After marriage, your spouse’s income is typically included in the calculation, even if they are not filing with you. This combined household income could disqualify you from Chapter 7, forcing you into a longer Chapter 13 repayment plan.
• Shielding Your Spouse’s Assets: Filing before marriage creates a clear legal boundary. The bankruptcy court will only have jurisdiction over your assets. Your fiancé’s property, bank accounts, and other assets are not part of the bankruptcy estate and are not at risk. While Mississippi is a separate property state, filing before the wedding removes any potential for confusion or disputes over what belongs to whom.

Are There Downsides to Filing for Bankruptcy Before the Wedding?

While there are clear benefits, filing for bankruptcy is a major legal event that requires careful timing.

• Impact on Immediate Joint Goals: A Chapter 7 bankruptcy case typically takes about four to six months from filing to discharge. During this time, your finances are under the court’s supervision. This process could delay short-term goals, such as applying for a mortgage together right after the wedding. A recent bankruptcy on one partner’s record will make qualifying for a joint home loan more challenging, likely requiring a waiting period of at least two years.
• The “Automatic Stay” and Joint Accounts: Once you file for bankruptcy, an “automatic stay” goes into effect, which prohibits creditors from trying to collect debts from you. If you have any joint bank accounts or are a co-signer on any loans with your fiancé, the automatic stay can sometimes cause temporary freezes or complications for those accounts, even though your fiancé did not file. It is often advisable to separate your finances completely before filing.

How Does the Mississippi Means Test Differ for Single vs. Married Filers?

The means test is arguably the most significant factor in the decision to file before marriage. It is the gatekeeper for Chapter 7 bankruptcy, which allows for the complete discharge of most unsecured debts.

• As a Single Filer: The court will look at your individual gross income over the six months prior to filing and compare it to the median income for a one-person household in Mississippi. If your income is below the median, you generally qualify for Chapter 7.
• As a Married Filer (Filing Alone): If you file for bankruptcy alone after you are married, the law requires you to include your non-filing spouse’s income in the means test calculation. You can deduct certain expenses that your non-filing spouse has, but their income still makes the calculation far more complex and significantly increases the total household income.
• The Risk: A higher combined income can easily push you above the median income threshold. This would likely prevent you from filing for Chapter 7 and instead require you to file for Chapter 13, which involves a three-to-five-year repayment plan. For individuals whose goal is to eliminate debt quickly, filing for Chapter 7 as a single person before marriage is often the most direct path.

What Happens if We Wait and File for Bankruptcy After Marriage?

If you choose to marry before addressing your debt, you still have options, but they come with different complexities.

Option 1: One Spouse Files Alone After Marriage

You can still file as an individual after you are married. However, as noted above, your spouse’s income will be part of the means test calculation. You will have to provide their pay stubs and financial information to the court. While your spouse’s separate property and separate debts are not part of the bankruptcy, any jointly owned property could be at risk, depending on available exemptions.

Option 2: Filing a Joint Bankruptcy Petition

If both you and your new spouse have significant debt, filing jointly may be the most efficient solution.

• Benefits: You can address all of your combined debts in a single case, pay one set of court filing fees, and hire one attorney. It is a streamlined way to achieve a fresh start together.
• Drawbacks: The bankruptcy will appear on both of your credit reports. All of your combined non-exempt assets, whether owned individually or jointly, become part of the bankruptcy estate and could be subject to liquidation in a Chapter 7.

Does My Fiancé’s Bad Credit Affect Me Before We Get Married?

No. This is a point that causes a great deal of confusion. Before you are legally married, your credit histories are entirely separate.

• Your fiancé’s low credit score does not impact yours.
• Their debts will not appear on your credit report.
• Even if your fiancé files for bankruptcy before the wedding, it will have no effect on your personal credit rating.

Credit histories are only linked when you jointly apply for credit, such as taking out a loan together or opening a shared credit card account.

Making the Decision: A Practical Approach

The decision of whether to file for bankruptcy before marriage is a personal one that depends entirely on your specific circumstances. There is no single right answer. The best path forward requires honesty, planning, and professional guidance.

• Have an Open Financial Discussion: The first and most important step is to be completely transparent with your partner. Lay out all your debts, assets, and income. A successful marriage is built on trust, and that starts with being open about financial realities.
• Gather Your Financial Documents: Collect all relevant paperwork, including credit card statements, loan documents, pay stubs for the last six months, and tax returns. This information is necessary to properly evaluate your options.
• Analyze Your Joint Goals: Discuss your financial goals for the first few years of marriage. Do you plan to buy a house? Start a business? Finance a new car? The timing of these goals will influence the best course of action regarding a bankruptcy filing.

Navigating Your Financial Future on the Mississippi Gulf Coast

The legal decisions surrounding bankruptcy and marriage are complex, and the stakes are high. Making the right choice can set the foundation for a lifetime of financial health, while a poorly timed decision can create unnecessary complications. You do not have to navigate this process alone. If you are on the Mississippi Gulf Coast and are weighing the decision to file for bankruptcy before or after marriage, our dedicated team at Gulf Coast Bankruptcy is here to help. We can review your complete financial picture, explain the pros and cons of each option as they apply to your unique situation, and provide the clear guidance you need to move forward with confidence. 

Contact us today for a confidential consultation to discuss your circumstances and learn how we can help you achieve a true financial fresh start.