Can wife be removed from mortgage in order to file Ch 7?

[signal]

My wife had a successful business, which then failed and she has been unemployed now for over 2 years with no income. Her debts are only in her name and its all business unsecured debt. She is on our mortgage.

I realize if she were to file Ch7, the the means test would include my income. However, if she were a business debtor, then she could bypass the means test. So the issue is, that my mortgage counting as consumer credit, would pull her down to where she would not be able to get a business debtor ch7.

is it possible for her to somehow remove herself from the mortgage, and give full responsibility to myself, and then be clear to file a ch7 (business debtor)?

I have read, that if we separated or divorced, she could then pretty much do a ch7 no problem, whether she is on the mortgage or not, as she has no income and would not be a part of my household. That's obviously not today's situation so I am looking at if there is something that could be done with the mortgage to remove it as consumer debt for her.

[despritfreya]

Sorry, but unless the lender agrees to remove her as a borrower there is nothing you can do. The chances of the lender removing her are virtually non-existent.

As it relates to the separation or divorce issue, if such is a sham the debtor will most likely get caught. It is never advisable to try to manipulate the system.

Des.

[AngelinaCat]

You really do not want to try a 'strategic divorce'. If you are happily married, it WILL throw a wedge into your relationship--no matter how much you tell yourselves and each other, that "this is strategic ONLY."

While battling endless harassing lawsuits from an Enemy, one of our attorneys--(now disbarred BTW)--suggested that we do a 'strategic divorce'. I was the one that had to file, which I did, but it tore me up inside to the point I thought I had a bleeding ulcer.

'Hub was no happier. While the paperwork wended its way through the court system, we both decided that this advice and tactic was pure horse-squeeze. I called the court the next day and canceled everything. I could hardly talk because I was crying so hard.

But this did put a stain on our relationship that has taken several years to recover from. Be very, very careful.

[SunshineGal]

Hi Signal,

The only way to remove your wife from the mortgage is to refinance in just your name. She would still have to sign the mortgage, but wouldn't be responsible for it.

SG

[btbeme]

Unless you wait 3+ years to file after doing this, I can almost guarantee a Trustee's full attention.

[AngelinaCatHub]

You're stuck with the mortgage, but I back my Mrs. with don't play games with your marriage. If you think bk is bad, try a sham divorce. It will open the door for the real thing. No debt is worth losing the one you love. 'Hub