parents co-signed loan

[blackhole]

I'm probably going to be filing ch 7 in the near future. My parents' co-signed on a small loan for me. They have the money to pay it off now. Is it better for them to pay it off now and clear their names before I file or is that considered preferential (even if the debt is payed by them and not me)?

[keepmine]

I'm probably going to be filing ch 7 in the near future. My parents' co-signed on a small loan for me. They have the money to pay it off now. Is it better for them to pay it off now and clear their names before I file or is that considered preferential (even if the debt is payed by them and not me)?

Since it's their obligation to pay if you don't and they aren't filing bk they can go ahead and pay it. Be sure they actually pay it. Don't let them give you money and you run it through your bank account. That could cause some preferential payment issues.