topic Re: Need some advice/information in General Credit Topics

Need some advice/information

Junejer — Sun, 21 Aug 2022 23:42:49 GMT

Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.

Re: Need some advice/information

Bill77 — Sun, 21 Aug 2022 23:55:25 GMT

Looks co-signers are still liable for the debt with a chapter 7:

https://www.nolo.com/legal-encyclopedia/cosigner-liable-debt-file-bankruptcy.html

Re: Need some advice/information

Jnbmom — Mon, 22 Aug 2022 00:00:45 GMT

Unfortunately I believe when a person files BK the co-signer will still be liable for the balance .

I will let the BK experts chime in here .

Re: Need some advice/information

Pway — Mon, 22 Aug 2022 01:25:48 GMT

@Jnbmom wrote:
Unfortunately I believe when a person files BK the co-signer will still be liable for the balance .

I will let the BK experts chime in here .

This is correct. ^^^

Re: Need some advice/information

pizzadude — Mon, 22 Aug 2022 01:54:52 GMT

Agree with the above comments that the debt is only discharged for the parties filing BK, not for other parties who didn't file.

Re: Need some advice/information

805orbust — Mon, 22 Aug 2022 02:15:03 GMT

This is why I dont do the cosign thing. SO dangerous. Either way I believe once you make the arrangements you have to follow through.

Re: Need some advice/information

SouthJamaica — Mon, 22 Aug 2022 13:30:07 GMT

@Junejer wrote:
Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.

My advice would be for her to consult with a local bankruptcy attorney, to see if there's something that can be negotiated.

Re: Need some advice/information

Lou-natic — Mon, 22 Aug 2022 14:08:20 GMT

@Junejer wrote:
Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.

The best advice is...NEVER EVER co-sign anything. No matter how much someone begs, pleads, cries to you.

If you aren't willing to just hand over cash for however much the loan is for, then you shouldn't be co-signing the loan either.

Re: Need some advice/information

Jnbmom — Wed, 24 Aug 2022 20:40:22 GMT

@Lou-natic wrote:
@Junejer wrote:
Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.
The best advice is...NEVER EVER co-sign anything. No matter how much someone begs, pleads, cries to you.
If you aren't willing to just hand over cash for however much the loan is for, then you shouldn't be co-signing the loan either.

Obviously it's never best to co-sign but this was the OP's mother and he just found out and is looking for advice on what her options may be , not how bad co-signing is .

Re: Need some advice/information

Junejer — Mon, 29 Aug 2022 21:23:02 GMT

@Jnbmom wrote:
@Lou-natic wrote:
@Junejer wrote:
Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.
The best advice is...NEVER EVER co-sign anything. No matter how much someone begs, pleads, cries to you.
If you aren't willing to just hand over cash for however much the loan is for, then you shouldn't be co-signing the loan either.

Obviously it's never best to co-sign but this was the OP's mother and he just found out and is looking for advice on what her options may be , not how bad co-signing is .

Thanks @Jnbmom. I've been away from the forums for a few days otherwise I would have addressed this myself.

It's a great idea for forum members to stick to the question that was asked and reserve personal feelings about what one does or doesn't do until someone asks the question.

Re: Need some advice/information

Jnbmom — Mon, 29 Aug 2022 22:28:26 GMT

@Junejer wrote:
@Jnbmom wrote:
@Lou-natic wrote:
@Junejer wrote:
Here is the story:

My mom co-signed a car loan for a relative. Shortly thereafter, he and his wife filed BK7 as they were going through a divorce. The car loan was discharged in the BK7. Somehow a CA got hold of the debt and used guerilla tactics on mom to get her to pay. She has been paying this for over a year and has agreed to pay until next May. I just found out about this on Thursday.

I'm questioning whether or not it is legal for the CA to collect on a debt that was discharged in BK7. If not legal, what are the recourses for her to get her $ back? Has she screwed herself by making payments?

Totally po'd by this, because I didn't even know whe was planning to co-sign on a loan. She usually gets my opinion on financial moves she is thinking about making.

Any advice from folks who have faced this situation would be appreciated.
The best advice is...NEVER EVER co-sign anything. No matter how much someone begs, pleads, cries to you.
If you aren't willing to just hand over cash for however much the loan is for, then you shouldn't be co-signing the loan either.

Obviously it's never best to co-sign but this was the OP's mother and he just found out and is looking for advice on what her options may be , not how bad co-signing is .
Thanks @Jnbmom. I've been away from the forums for a few days otherwise I would have addressed this myself.

It's a great idea for forum members to stick to the question that was asked and reserve personal feelings about what one does or doesn't do until someone asks the question.

@Junejer You are welcome and your observation is spot on 💯