If I am a co signer is it possible for me to be protected during a bankruptcy?
My son wants to file for bankruptcy, but I am a co-signer on an auto loan we took out a couple years ago. Is there anything I can do to protect my own credit score? My son is willing to sign off on anything to do this.
Answered by: Attorney Christopher J. MercadoCall Me: (206) 898-2336
Answered on: 1/19/2012 - This answer applies to: Washington
You'll be fine but the lender will likely go after you since they cannot go after your son due to the bankruptcy filing.
Answered by: Attorney William M. RubendallCall Me: (925) 827-2272
Answered on: 12/2/2011 - This answer applies to: California
Pay the debt on its regular payment basis. This way your credit score should be unaffected by the primary borrower's bankruptcy.
Answered by: Attorney Janet LawsonCall Me: (805) 985-1147
Answered on: 12/2/2011 - This answer applies to: California
If you keep the payments up on the vehicle then there will be no damage to your credit score. If the payments are late or missed it will reflect on you.
Answered by: Attorney Stephen HarkessCall Me: (303) 531-5380
Answered on: 12/2/2011 - This answer applies to: Colorado
The only way to protect your credt score if your son files bankruptcy is for you to pay the debt. That is what you promised to do when you co-signed (why do you think they wanted your signature?). If you make the payments then there will be no damage to your credit score.
Answered by: Attorney Glen Edward AshmanCall Me: (404) 768-3509
Answered on: 12/1/2011 - This answer applies to: Georgia
Your credit will be affected, and, depending on what happens, you may be paying the loan. That is the risk you knowingly agreed to when you co-signed, and you cannot get out of that contractual duty now.
Answered by: Attorney Jeffrey D. SchreiberCall Me: (619) 269-8600
Answered on: 12/1/2011 - This answer applies to: California
If the payments are current, remain current, and he signs a reaffirmation agreement to continue to be legally liable for the payments after filing bankruptcy, then it should have no affect on you. The creditor cannot report a bankruptcy on your credit unless you actually filed, even if one of the other borrowers filed.