A Questioner On A Legal Website (Lawqa.Com) Asked:
Question: Will my immigration joint sponsor be affected if I file for bankruptcy?
Question Detail: I am a green card holder since February 2011 through marriage. My wife couldn’t demonstrate to immigration the ability to support me on the 125% due to her financial status. Therefore I have to ask a friend to become my financial joint sponsor. I have been a single father since my wife deserted us on February 2012 and I am alone with my 4 year old twin daughters. I am a security officer and my gross income is $25200 a year. I just finance a used car a month ago because the car that I used to have broke down and I need the car to take my kids to school and doctors appointment and to go to work as well. My ex wife left me with a lot of debts which are very difficult to pay. My questions are: Will it affect my joint sponsor in any way if I file a bankruptcy? Will I be affected with my used car loan if I file a bankruptcy? Thank you very much.
Answer:
I am often asked about the interactions between filing bankruptcy and immigration, and the short answer is that there are none. This question asks about joint sponsors. I understand the confusion, because they are commonly referred to as “cosigners”. However, they are not cosigners for anybody’s debt. They are merely there to defeat the “public charge” ground of exclusion. In other words, you are not allowed to come to the United States to go onto welfare. The point of sponsors and joint sponsors or so-called “cosigners” is to have somebody here guaranteeing that that will not happen. As bankruptcy and welfare have no direct relationship with each other, the effect of bankruptcy upon a joint sponsor is essentially nonexistent. A joint sponsor is not responsible for the debts of an immigrant that does not go on welfare. Your bankruptcy filing will have no impact on your joint sponsor.
There are any number of issues for which I am asked more questions about immigration and bankruptcy. Filing bankruptcy is not evidence of a lack of “good moral character” and thus has little or no impact upon citizenship applications, cancellation of removal petitions or other areas where “good moral character” is required. Filing bankruptcy is not a reason why you cannot bring over your spouse, child, parent or other qualifying relative as long as your income is high enough that you can act as a sponsor and defeat the public charge ground of exclusion. That is to say, if you (and your “co-signor” where applicable) have sufficient income that once your relative joins your household, your household will still be over 125% of poverty, then the fact that you also have a bankruptcy filing becomes irrelevant.