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Cosigner filing bankruptcy

Posted on: 27th May, 2013 01:56 am
A family member co-signed a car with me to help me build my credit. However, she has run into a hardship now. Here's my question - if they file for BK and I'm joint owner of the vehicle how does this affect me and my credit and ownership to the car?
Hi Perry,

As the person is your co-signer, that means she is on the title of the car. In such a situation, she will have to list the car as her asset. If she gets a discharge, then she will be released from the liability toward the car. You will remain solely liable for the payments. However, her bankruptcy filing won't have an impact on your credit.

Thanks,

Jerry
Posted on: 27th May, 2013 03:19 am
Hi Perry!

Welcome to the forums!

Jerry is right in saying so. Also, to be on the safer side, you can speak to a local bankruptcy attorney and check out the impact that her bankruptcy filing will have on you.

Feel free to ask if you've further queries.

Sussane
Posted on: 27th May, 2013 09:25 pm
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