Cosigner Questions -- Help !

[cmcg2005]

Good evening all - Thanks in advance for the advice.

My brother has filed Chapter 7 on his home and two credit cards. He has additional debt (truck, computer loan, small personal loan) that he continues to pay on and is current on.

My concern relates to his new truck (purchased in early 2005), as I am the consigner on this loan. He is current and has made all payments on-time (and will continue to do so); however, do I need to take any actions to preserve my credit?

Up until this point, I have been told by my brother (and his attorney) that there is nothing to worry about as the truck will not be part of this, but I just want to be sure, especially when I realize that the Bank for the truck is getting copies of all of the bankruptcy proceedings.

Thanks all,
Chris

[hhou812hh]

Yeah you should be fine. The responability falls on you lap only if he defaults for a few months.

[Lightning]

The only way to preserve your credit is if you make the payments. The truck loan is both yours and his. If keeps paying on the loan, you won't have to. If he decides to stop paying, the bank will sue you. If he misses a few payments, it will show on your credit report as a late payment. If you really want to preserve your credit, you'll have to call the lender every month to verify that the payment has been made. If it hasn't, you better make it.