Filing for bankruptcy when you have a co-signer on a loan introduces additional concerns and responsibilities. Protecting the co-signer from negative repercussions is essential to maintain their financial health and preserve personal relationships. This guide provides a comprehensive look at how you can protect a co-signer during bankruptcy and explores various strategies to mitigate potential […]

Several aspects of a non-filing co-signor are discussed below.  Please remember that every case is different and should be reviewed by an experienced bankruptcy attorney: 1. Discharge of Debt for the Debtor In Chapter 7 bankruptcy, the primary debtor (the person who filed for bankruptcy) seeks to discharge their debts, meaning they are released from […]

In both Chapter 7 and Chapter 13 bankruptcy cases, co-signed debts are treated differently depending on the type of bankruptcy and the specific circumstances of the debt. Here’s a breakdown of what typically happens to co-signed debts in each chapter: Chapter 7 Bankruptcy: Co-Signer Liability: In Chapter 7 bankruptcy, the primary debtor’s obligation to repay […]

When only one party files for Chapter 7 bankruptcy and there’s a co-signed debt involved, the implications can vary for each party associated with the debt. Here’s what typically happens: For the Person Filing for Bankruptcy: Discharge of Personal Liability: The individual who files for Chapter 7 bankruptcy can have their personal liability on the […]