How does chapter 7 affect my co-signer? 24 Answers as of December 11, 2013

I’m in the process of filing chapter 7. I have placed my private loans in this bankruptcy which I have a co-signer on. I am making payments until my bankruptcy is final.

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Hayward, Parker, O'Leary & Pinsky, Esqs.
Hayward, Parker, O'Leary & Pinsky, Esqs. | Michael O'Leary
Once you stop making payments, the creditor will pursue the co-signer for the balance due.
Answer Applies to: New York
Replied: 12/11/2013
Stephens Gourley & Bywater | David A. Stephens
Generally the cosigner will still have to pay the debts. The discharge does not help them.
Answer Applies to: Nevada
Replied: 12/6/2013
Richard L. Hirsh, P.C. | Richard L. Hirsh
Your co-signer will remain liable on the obligations.
Answer Applies to: Illinois
Replied: 12/6/2013
Michael B. McFarland, P.A. | Michael B. McFarland
Unless you reaffirm the debt, and make arrangements to pay it, your obligation will be discharged; and your co-signer will be solely responsible for the payment and they almost certainly will go after the co-signer. If he or she can't afford to pay, it might be necessary for him or her to file bankruptcy.
Answer Applies to: Idaho
Replied: 12/6/2013
David R. Fondren, Attorney at Law
David R. Fondren, Attorney at Law | David R. Fondren
Your bankruptcy does not affect the liability of the co-signer. They will have to pay the loans.
Answer Applies to: Missouri
Replied: 12/6/2013
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Your co signer will be fully liable for the debts
    Answer Applies to: New York
    Replied: 12/5/2013
    The Law Office of M Grater LLC
    The Law Office of M Grater LLC | Mark O. Grater
    The creditor cannot proceed against the co-signor while you are in bankruptcy. They can proceed against the co-debtor when it ends.
    Answer Applies to: Connecticut
    Replied: 12/5/2013
    SmithMarco, P.C.
    SmithMarco, P.C. | Larry P. Smith
    The lender will now look to the co-signer to make payment. The co-signer now becomes the person solely responsible for paying the debt if you discharge your obligation to pay it in bankruptcy.
    Answer Applies to: Illinois
    Replied: 12/5/2013
    Paul Stuber, Attorney at Law
    Paul Stuber, Attorney at Law | Paul Stuber
    The co-signer who did not go through bankruptcy will still be responsible for the loan.
    Answer Applies to: Colorado
    Replied: 12/5/2013
    Hoang & Tran PLLC | Adam Tran
    You should stop making payments to the private loans immediately unless the trustee tell you otherwise. If you get a discharge, the loan company can still go after your co-signer.
    Answer Applies to: Texas
    Replied: 12/5/2013
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    You co-signor is going to be personally liable for the debts.
    Answer Applies to: Michigan
    Replied: 12/4/2013
    Garner Law Office
    Garner Law Office | Daniel Garner
    Creditors have the right to pursue co-signers when you file bankruptcy. If you don't want them to do that, you have to reach out to the creditors and assure them you intend to honor the debts. They may ask you to sign a reaffirmation agreement which gets filed with the court and specifically exempts the debt from bankruptcy. Some creditors will not accept payments while you are in bankruptcy, or will require a reaffirmation agreement before they will accept a payment. It is very risky to sign any such legal document without getting legal advice. You need to fully understand your rights and obligations.
    Answer Applies to: Oregon
    Replied: 12/4/2013
    Stuart P Gelberg
    Stuart P Gelberg | Stuart P Gelberg
    Your cosigner remains fully liable for the entire debt.
    Answer Applies to: New York
    Replied: 12/4/2013
    Law Office of Michael Johnson
    Law Office of Michael Johnson | Michael Johnson
    Student loans will not just be discharged you will need to file additional motions. Also your cosigner will also be responsible for the debt even if you do get it discharged.
    Answer Applies to: Florida
    Replied: 12/4/2013
    Tokarska Law Center
    Tokarska Law Center | Kathryn U. Tokarska
    Your co-signor remains 100% liable for the debt unless of course they file bankruptcy and get a discharge. I am concerned about the payments prior to bankruptcy as these could be considered preferential treatment of a creditor unless this is for a secured debt, like car installment payments.
    Answer Applies to: California
    Replied: 12/4/2013
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Your co-signer has to pay if you don't. That is why the lenders get co-signers, so they have another person to go after.
    Answer Applies to: California
    Replied: 12/4/2013
    Law Offices of Linda Rose Fessler | Linda Fessler
    He is still responsive for all of them.
    Answer Applies to: California
    Replied: 12/4/2013
    Portland Bankruptcy Law Group
    Portland Bankruptcy Law Group | Christopher J. Kane
    Your Chapter 7 discharge will not relieve the co-signor of their liability on those loans.
    Answer Applies to: Oregon
    Replied: 12/4/2013
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    Your co-signer will see a notation on his credit report that loan is in bankruptcy. It should not affect his/her credit score as long as someone makes the payments on the student loan.
    Answer Applies to: Nevada
    Replied: 12/4/2013
    Goldsmith & Guymon
    Goldsmith & Guymon | Marjorie Guymon
    It should have no effect on your co-signor as long as you continue to make the payments.
    Answer Applies to: Nevada
    Replied: 12/4/2013
    Steele, George, Schofield & Ramos, LLP
    Steele, George, Schofield & Ramos, LLP | Alan E. Ramos
    It depends on the language of the agreement and the attitude of the creditor. With some creditors, as long as you continue to make the payments, there could be little to no effect on the co-signer. Some creditors will make an immediate demand for payment from the co-signer.
    Answer Applies to: California
    Replied: 12/4/2013
    The Law Office of Kathleen Walls
    The Law Office of Kathleen Walls | Kathleen Walls
    Basically, if/when you receive your chapter 7 discharge, you will receive a discharge of this debt (assuming they are dischargeable), but your co-signer will not. Your co-signer will continue to be liable and is subject to collection from the creditor.
    Answer Applies to: Vermont
    Replied: 12/4/2013
    Deborah F Bowinski, Attorney & Counselor at Law | Debby Bowinski
    Your bankruptcy filing does not protect the cosigner. The lenders will be free to seek payment in full from the cosigner.
    Answer Applies to: Colorado
    Replied: 12/4/2013
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