Co-debtor/question

[toilettrash]

HI There, hope all is well.

I encoutered a roadblock i think and need to ask a question:

Here is the scoop. One apartment complex we spoke with says we didnt pay the past due debt we owed to them. My credit report was never effected by my roommates was. I wound up putting this debt on my Petition (Chapter 7).... Anyways I did the notices to them and everything of that nature..

My question is this: Does this debt get released since i filed it under me from bankruptcy? isnt my roommate protected since i put them as a co-debtor? How does this work?

Thanks

[despritfreya]

If your roommate is a cosigner on the lease, your bk does not help the roommate, unless, of course, you pay the debt off despite the bk.

[toilettrash]

thank u! I am filing for my roommates now (chapter 7)

[toilettrash]

one quick question so i add myself to his as his codebtor for that correct?

[despritfreya]

If you are obligated on a debt with your roommate, your name is listed on Schedule H but his Chapter 7 bk will not protect you from the creditor's collection efforts.

As to one of your other posts (I think it was you), your roommate can file in Florida and then move where ever he wants to so long as he keeps the bk court in Fl informed of his current address and returns to the state for his 341 meeting.

[SMinGA]

If you have already been discharged, I don't think this is necessary.

I understand the co-debtor/section is so that your co-debtors get notified and is made aware. Say I co-sign a debt a debt for you, and you get discharged. I should know about it since that means I will have to pay it back in full.

one quick question so i add myself to his as his codebtor for that correct?

[toilettrash]

THANK you!!!!! Soooooooooooooooooo much.........

Yeah i wish i could just ask the court if we can transfer it to Colorado the case...

thax you also SMINGA didnt know thats what the codebtor thing was for!

[tcreegan]

think about it

TT, think about what you are doing......filing BK over one small debt to a landlord? Please tell me there are tons of other debts..........

You both file bankruptcy, both credit reports crash, you can't get a car loan, you cant get a store credit card, you can't get hired in certain jobs, can't join the military, cant get low cost car insurance, can't get in most nice apt complexes, anything where they pull your credit report. And BK's stay on there for years and years.....

Aren't you both moving? Why do you care about the landlord with the debt?
Make arrangements to pay him.her off in little payments over time.

Your new apartment complex in Denver is not going to be concerned about one debt that you are working on as much as filing 2 BKs to cover one little debt.

Unless there is more than you are saying, you are abusing the system meant for people who really need it. Please reconsider.

Tom in Colo

[SMinGA]

Filing bankruptcy will discharge the debt - but will not wipe out the bad rental history. You either defaulted on your lease and skipped out owing rent, failed to fulfill your lease and pay appropriate termination fees, were evicted, or left the place in bad shape with unpaid damage charges.

Renting an apartment in an established complex looks at 4 areas: income/employment, criminal history, credit history, prior rental history.

Having certain items in your criminal record will be automatic denial, and having a bad rental history will likely bring the same result. Credit & income/employment can be worked around potentially with extra deposits and/or paying several months rent in advance.

Regardless of whether your friend/roommate files bankruptcy to discharge this (and other?) debts you are probably going to need to go with a private rental. Rent from someone, rather than a company, and start building good rental history. In time you'll have enough good rental history that it can overshadow the bad.

[wnguyen]

TT

I agree withTom and SMinGA. Unless you have tons of other debts, filing for BK just to wipe off your rental debts isn't a good idea. Both of your credits will take a big hit and you'll have hard time obtaining credit later on when you buy big ticket items like car, house. BK doesn't clear your bad rental history either.