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Can the primary borrower continue paying car loan if co-signer files chapter 7 bankruptcy?
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∙ 15y ago
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∙ 15y ago
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Is the cosigner the only one responsible on the loan?
The primary borrower is responsible for making the payments and adhering to the terms of the lending contract. The cosigner is legally obligated only if the primary borrower defaults on the lending agreement or files bankruptcy (chapter 7).
Can a lender make you pay for a loan for which you co-signed if the borrower filed a Chapter 7 bankruptcy and is no longer making payments?
You guaranteed to pay the loan if the primary borrower does not. That is what a cosigner does. The lender is going to be looking at you for their money.
Will a cosigner's credit be affected if they cosign for someone who has a bad credit score because of a Chapter 7 bankruptcy?
The cosigner's credit will only be affected if the person that they cosign for defaults on the loan. The bankruptcy will not affect the cosigners credit.
Your husband is filing chapter 7 bankruptcy and you are not but you are a co-borrower on his loans will you still be responsible?
In most states, YES
Can you get your car back if you file a chapter 7 bankruptcy before it is auctioned off?
If the lender is willing to reaffirm the loan with the borrower then the vehicle can be returned. A vehicle is a secured debt and is not subject to chapter 7 bankruptcy laws.
You are a cosigner and the debtor has filed chapter 13 what happens to your obligation?
You are protected during the term of his bankruptcy. If he does not resolve the debt under it, you will remain responsible.
Can your vehicle be repossessed after you file Chapter 7 bankruptcy?
No. But they can ask to be excluded from the bankruptcy. Usually a deal can be made with the lender to keep a vehicle. If it is covered by the exemption and the borrower lives up to the contract agreement.
During a chapter 13 bankruptcy can creditors charge unpaid late charges?
Maybe. A chapter 13 is a repayment plan and in some instances will not affect the terms of the lender and borrower contract.
What do you do if your vehicle was repossessed if you were the co-borrower and the other borrower has filed Chapter 7?
You either pay or dont pay or file B/K also. If a co-borrower has debt discharged through bankruptcy, the other signatory is 100% liable for the balance of the loan.
Can you file a Chapter 7 bankruptcy after a Chapter 13 has been dismissed?
Yes. It is usually the only other option for a borrower. If not the creditor might seek legal recourse in the form of a lawsuit. Even though the idea of a lawsuit is "scary" it can be a better choice than BK, depending on circumstances of the borrower.
How is the monthly dues of a home owners association handled in a chapter 7 bankruptcy?
Your bankruptcy attorney is best prepared to answer your question, especially if you expect to continue living in the home.
Can you have a cosigner on a car loan while in the last few months of bankruptcy?
When participating in a Chapter 13 BK repayment all major financial transactions must have the approval of the bankruptcy trustee. If the person does not clear the action with the trustee the "13" can be dismissed with prejudice.
