Co-signers and Debt
A co-signor is someone who, at the time you obtained your credit card or obtained your loan, agreed by way of signature to pay the bank if you were unable to do so. Co-signing makes the loan a joint one, meaning that the entire amount must be repaid by either person, doesn’t matter which.
If you file for bankruptcy, you relieve yourself from the obligation to pay back your debts. Your bankruptcy does not relieve someone else from their obligations, even those made on your behalf. In other words, if your parent signed with you for a car, or your spouse co-signed your credit card, they would be liable to pay the amount owing in full.
Contact Rumanek & Company Ltd. for more information on bankruptcy and debt solutions. Or please fill out the free bankruptcy evaluation form. To learn more please visit our YouTube Channel. Rumanek & Company have been helping individuals and families overcome debt for more than 25 years.