Legal Question in Bankruptcy in Georgia

Re: anti-deficency

It depends. If the filing spouse files a Chapter 13 petition, then a "co-debtor" stay goes into effect upon the filing, and creditors (whose debts may be characterized as consumer debt) may not pursue the non-filing spouse. Is the deficiency judgment the result of a foreclosure or auto loan? The co-debtor stay only remains in place during the pendency of the chapter 13 petition. After the case has been concluded, the creditor may continue to proceed against the non-filing spouse (even without income) to collect whatever was not repaid in the Chapter 13.

If the filing spouse files chapter 7, then the creditor may continue to proceed with collection efforts against the non-filing spouse. One tip - you need to examine whether the non-filing spouse really has liability for a deficiency - were they on the loan as a co-borrower? Good luck - I would strongly suggest that you review this matter with your bankruptcy attorney; with all of the facts in front of them they are better equipped to provide you with an answer to your question.

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Re: anti-deficency

Yes or no. The answer would depend on the chapter of bankruptcy filed and what is being done with the debt in the case. There is no way to answer with the information provided.