How will my cosigner be affected on a loan

[debtfreeplease]

Hello, I have a student loan with Citibank which my fiance cosigned. I am probably going to file Ch. 7, and I need to know if this is going to affect him at all. I have never been late on a payment, and I am going to continue paying this even through the bankruptcy. Some people have told me that it will show up on his credit report, and others have told me otherwise. Is this going to affect him negatively, and does anyone know what it looks like on a cosigners credit report? Any advice or other people's experiences are appreciated, thank you!

[AngelinaCat]

Your student loan is not dischargeable in any case. I do not know how your BK will affect your co-signer's credit rating regarding a student loan. But I do know that co-signed loans in automobiles, render both parties' credit ratings, toast.

Good luck.

[debtfreeplease]

Thanks Angelinacat. I understand that its not dischargeable and thats fine, but I'm just wondering if anyone has had experience with this before?

[Flamingo]

It may or may not show up. If it does it will have to be disputed that the account was not discharged in bankruptcy and that he was not part of the bankruptcy. If that is the case, be prepared to send paperwork into any CRA that may report it. It may also show up as indicating that that account was included in a BK filed by another party. You will have to see what happens so you can figure out how to handle it if it does appear.

[rockyroad]

Your student loan is not dischargeable in any case. I do not know how your BK will affect your co-signer's credit rating regarding a student loan. But I do know that co-signed loans in automobiles, render both parties' credit ratings, toast.

Good luck.

what about joint accounts? If one party files BK but the other is not filing, does is affect the non-filers credit?

[JRScott]

Yes if the account is joint and only one files it will ding both on the credit report.

[lrprn]

Hello, I have a student loan with Citibank which my fiance cosigned. I am probably going to file Ch. 7, and I need to know if this is going to affect him at all. I have never been late on a payment, and I am going to continue paying this even through the bankruptcy. Some people have told me that it will show up on his credit report, and others have told me otherwise. Is this going to affect him negatively, and does anyone know what it looks like on a cosigners credit report? Any advice or other people's experiences are appreciated, thank you!

As long as at least one of you continues to make the student loan payments on time, then his credit will not be affected even if you file. He did not file bankruptcy - you did.

If he does see a drop or negatives on his credit ratings related to the co-signed student loan, then he needs to dispute that in writing immediately with the credit agency in question and get the dings removed.

[AnnaO]

This is just my experience FWIW. For this particular debit, it will probably not show anything on your credit report or your co-signer's credit report unless you are late on a payment. Just from my experience, as soon as you are late, then they will report that to the credit bureaus. Doesn't matter whether the debt is involved in the BK or not, they will keep reporting any late or delinquent accounts.

Since the debt won't be discharged, keep paying it on time even if you don't receive statements or bills (that is not an excuse for being late with a payment). If you don't pay on the account, then, yes, they could turn to your co-signer as liable for the debt. It is up to the individual creditor whether or not they will do this, but the potential is definitely there.

Good luck!