If you recently went through a divorce and you’re now considering bankruptcy, you’re not alone.
Divorce is one of the biggest financial triggers for bankruptcy. Between legal fees, splitting households, child-related expenses, and debt that suddenly becomes “your responsibility,” many people find themselves overwhelmed.
A very common question we hear is:
“I owe my divorce attorney about $7,000. I plan to pay her off first, then file Chapter 7 bankruptcy 3–4 months later. I’m not going to include her fees in the bankruptcy. Will that cause a problem?”
It’s a smart question — and the answer is:
It might be an issue, depending on timing and how the payment is made.
Let’s break it down.
Bankruptcy Trustees Look Closely at Payments Made Before Filing
When you file Chapter 7 bankruptcy, the trustee will review your financial history.
That includes:
- bank statements
- recent transfers
- large payments
- who you paid and when
- whether any creditors were “preferred” over others
This is because bankruptcy law requires fair treatment of creditors.
What Is a “Preferential Payment”?
A preference payment is when someone pays one creditor shortly before filing bankruptcy, giving that creditor an advantage over others.
Bankruptcy law allows the trustee to “claw back” certain payments made before filing.
This is not because you did anything wrong or dishonest — it’s because bankruptcy law tries to ensure creditors are treated equally.
How Far Back Does Chapter 7 Look for Payments?
In most cases:
The trustee looks back 90 days for payments made to regular creditors.
But there is an important exception:
Payments made to family members or insiders can be reviewed for up to 1 year.
A divorce attorney is not typically considered an “insider,” but the 90-day rule may still apply.
Is Paying Your Divorce Attorney Considered a Problem?
Potentially, yes.
If you pay your divorce attorney $7,000 and then file Chapter 7 bankruptcy within a short period of time, the trustee may ask:
- Why was this creditor paid in full?
- Were other creditors left unpaid?
- Was the payment made right before bankruptcy was filed?
Even if your intention is innocent (and it usually is), the trustee may still view it as a preferential payment depending on the timing.
Can the Trustee Take the Money Back From the Attorney?
In some cases, yes.
If the trustee believes the payment qualifies as a preference, the trustee may demand that the attorney return the money to the bankruptcy estate.
That money could then be redistributed among creditors.
This is one reason why paying large bills right before filing bankruptcy can backfire.
But Isn’t It Normal to Pay Legal Fees?
Yes — and many trustees understand that divorce cases create real financial pressure.
Paying a divorce attorney is not unusual.
However, trustees still have a duty to review large payments and determine whether bankruptcy law allows them.
Even if you do not list the attorney as a creditor, the trustee can still see the payment.
Does It Matter That You’re Not Including the Attorney in Bankruptcy?
Not really.
Many people assume:
“If I don’t list her as a creditor, it won’t matter.”
But the bankruptcy trustee reviews your financial activity whether or not you list the creditor.
The issue is not whether you discharge the debt.
The issue is:
whether you made a large payment shortly before filing.
What If You Wait 3–4 Months?
Waiting can help.
If you pay your divorce attorney and then wait more than 90 days before filing, you may avoid the preference issue entirely.
That’s why timing matters so much.
If you are planning to file 3–4 months later, you may be outside the 90-day lookback window — which is often a safer strategy.
However, every case is different, and trustees sometimes review transactions even beyond 90 days if there are concerns.
What About Paying the Attorney in Smaller Payments?
Sometimes people try to avoid problems by paying smaller amounts over time instead of one large payment.
That may or may not help.
Trustees can still add up multiple payments made close together and treat them as one transaction.
Also, paying large amounts right before bankruptcy — whether in one payment or several — can still raise questions.
Another Issue: Paying the Attorney While Not Paying Other Bills
Even if the payment is outside the preference period, trustees may still ask:
- Did you stop paying credit cards but pay the attorney?
- Did you take out loans or use credit cards to pay legal fees?
- Did you pay the attorney while leaving rent or car payments unpaid?
These details matter because they help the trustee understand whether the payment was reasonable and made in good faith.
Should You Pay the Divorce Attorney Before Filing Bankruptcy?
Sometimes yes — but you should do it carefully.
There are valid reasons to pay the divorce attorney first, including:
- you want to keep a good relationship with your attorney
- you want to avoid unpaid legal fees going to collections
- you may need the attorney again later
- you don’t want to discharge the debt
But you should always consider bankruptcy timing rules before making large payments.
What If You Don’t Pay Her and Include It in Bankruptcy?
Some people choose to include divorce attorney fees in bankruptcy.
In some situations, legal fees can be discharged, but it depends on the nature of the debt.
For example, fees related to custody or support issues may be treated differently than standard divorce representation fees.
This is why it is important to review the specific legal fees with a bankruptcy attorney.
The Bottom Line
If you owe your divorce attorney about $7,000 and want to pay her off before filing Chapter 7:
✅ Paying her is not automatically illegal
⚠️ Timing matters — the trustee may review payments made within 90 days
⚠️ Large payments can be considered “preferential”
✅ Waiting 3–4 months may reduce risk
❗ You should speak to a bankruptcy attorney before making the payment
Final Thought: Bankruptcy Is About Strategy, Not Just Filing
Many people assume bankruptcy is just paperwork.
But in reality, bankruptcy is a legal process with strict rules — and what you do in the months leading up to filing can have a major impact.
Paying your divorce attorney may be the right decision.
But it should be done with a plan.
Need Help Planning a Chapter 7 Filing After Divorce?
If you are recently divorced and considering bankruptcy, we can review your timeline, recent payments, and financial situation to help you file safely and avoid unnecessary trustee issues.
The right filing strategy can protect your discharge and your fresh start.
