Valued Contributor
Posts: 3,406
Registered: ‎12-19-2012
Re: My Cosigner is filing for bankruptcy. Reaffirmation and the loan agreement
I am not sure if it will affect your credit report negatively or not. If it was a joint account, I would think that the filing of bankruptcy of one person would affect the other but I am not sure about consigning. I would call the auto loan company and ask just to be sure as it could also be a factor of differing policies. I believe they would definitely come after you next if you weren't planning to make payments since you are fair game. You would only need to reaffirm if the account on your credit report ended up included in BK. Honestly, I think life will go on as usual as you are primary person required to make payments. Just realize that if you default and can't pay, the loan company will not go after the cosigner because they won't be able to legally so all the negativity of failure to pay would fall in your would be as if you purchased the car on your own without a cosigner.
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