I could really use some advice.

[adbrig]

Hello all, new to the forums and I really need some advice. This may be a little long but I am new to all of this and am looking for some help from someone who has had experience with my situation or is knowledgeable about it.

My parents are filing for Chapter 7 Bankruptcy. My father is the primary on my Vehicle Loan and I am the secondary. He wants to include the vehicle in his bankruptcy because he doesn't want to have to worry about it when he tries to repair his credit score. The thing is, I'm trying to join the military and I don't know how this will affect my credit score. Having bad marks on my credit could possible disqualify me from joining the military.

How badly will it affect me, the secondary on the loan, if my father includes the vehicle loan in his chapter 7 bankruptcy? Will the loan company try to come to me for the remainder of the loan balance? Will I solely be responsible for the loan if he files the vehicle in his bankruptcy?

I am pretty upside-down on the vehicle. I owe $18000 on the vehicle and it's value right now is about $9000 due to several bad mistakes on my part. Personally and financially I would be much better off if they could take the truck back and both of us be released from the loan but I don't know how or if it will negatively affect my credit.

I've been searching but I have come up empty handed. Any suggestions or links to websites clarifying my situation would greatly be appreciated.

[Mi Bankruptcy]

Unfortunately when he discharges the car loan they will come after you for the balance. The only way you could get rid of the car is if you filed and included it in your BK. Dont do it if that is your only worry.

As far as joining the service I wouldn't worry about your credit score. As long as you graduated and don't have any felony's or drunk driving tickets you should be alright.. Even then, you could get a waiver for the ones above.

[ShouldWeFile]

As MIbankruptcy just stated above, one party (your father in this case) filing BK on a joint debt does not release liability of the second party (you) in any way shape or form. The obligation on your part does not significantly change. If anything, you are a little more liable than before, becuase the lender cannot attempt to collect from your father. You must continue to make payments as you normally would. If you should stop making payments your liability is the same as if your father had not filed BK and listed the vehicle.

[adbrig]

Thanks for the responses.

I will tell him to just list it in his bankruptcy.

Thanks.