Transcript:
00:00:00
When someone files for a bankruptcy case, then uh if they have co-signers, then that co-signer, they legally do still owe the debt. Uh that is uh the downside on that. So, uh let’s say that uh someone files a bankruptcy case and someone was also a co-signer on a credit card. Well, the person that filed it is legally discharged or wiped out for them, but then the legally the co-signer does still owe that money. So, the the creditor could turn their focus to the co-signer that didn’t file the
00:00:42
bankruptcy. Uh, and uh, you know, often that comes up with with vehicles, things like that. But if someone is going to continue paying the vehicle, whoever filed for the bankruptcy, then the the co-signer is is still going to be fully protected. And uh the co-signer, they’re not in a bankruptcy. And if anything ever pops up, uh then it’s just an easy explanation uh to show that, hey, it wasn’t wasn’t my bankruptcy. It’s uh I was just a co-signer on a loan uh for someone that did file for bankruptcy.
00:01:21
So, uh not a major problem at all, but the co-signer does still owe the money if it’s not getting paid.
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