Toccoa, GA Bankruptcy Law Firms & Lawyers

Being a co-signer creates a legal obligation to pay the debt when the primary signer does not. If it is not paid you may be subject to a lawsuit as well as negative creditor reporting.

Filing bankruptcy does not remove your name from the deed to your home. A foreclosure sale, if one happens, does remove your name from title to your home. How long it will take you to qualify for a new loan depends on many factors.

Simply, the bank can repossess the car, sell it and collect from your husband the difference between the sales proceeds and the balance owed on the car loan plus costs. If your husband does not pay then the creditor can garnish his wages, levy your bank account and put a lien on any real estate you own. The creditor cannot proceed against his mother because she filed for bankruptcy. Any money in the bank in any account with your husband's name can be levied. Although all you have is community property and can be taken to satisfy your husband's debt, most likely the creditor will go after his wages, any bank accounts on which your husband appears as an owner and file a lien against any real estate in which your husband has title. Your husband is liable for 100% of the debt and there is nothing he can do about it but pay or settle it for less (except file bankruptcy himself).