Warren & Migliaccio, L.L.P.

Dallas Family, Bankruptcy and Personal Injury Lawyers

Call For A Free Consultation (888) 550-6702
  • Our Team
    • Gary Warren
    • Christopher Migliaccio
    • Jonathan Frederick
    • Dan Varkey
    • Traci Diamond
    • Christopher R. Konneker
    • Sabah Hafiz
    • David Lane
    • Morgan Gill
    • Client Testimonials
  • Camp Lejuene Victim Support
    • How we can help
    • Top 5 Questions and Answers About the Camp Lejeune Lawsuits
    • Symptoms of Water Contamination
  • Bankruptcy
    • Debt Resolution
    • Chapter 7 Bankruptcy
    • Chapter 13 Bankruptcy
    • Benefits of Bankruptcy
      • Stop Creditor Harrassment
      • Keep Your Property
      • Stop Foreclosure
      • Eliminate Credit Card Debt
      • Repair Your Credit Score
    • Bankruptcy Myths Debunked
    • Creditor Harassment
    • Tax Debt
    • Wage Garnishment
    • Bankruptcy Video Center
    • Why Meet with Chris?
    • FREE Bankruptcy E-Book
  • Debt Lawsuit Defense
    • Being Sued by Debt Collector? What you need to Know.
    • What to do when you are being sued by Credit Card Company
    • Is it possible to be Judgment Proof?
  • Family Law
    • Divorce Timeline and Roadmap
    • Child Custody
      • Types of Child Custody Orders in Texas
      • Child Support Modifications & Enforcements
      • Child Support: The Details You Should Know
    • Contested Divorce
    • Spousal Maintenance and Support
    • FREE Divorce E-Book
    • Military Divorce
  • Estate Planning
    • Last Wills and Testaments
    • 9 Reasons You Need a Revocable Living Trust in Texas
    • Making and Funding a Living Trust in Texas
    • Is It Time to Update Your Estate Plan?
    • Dying without a Will
    • Estate Planning Packet
  • Next Steps
    • Next Step
      • Make a Payment
      • Richardson Office
      • Dallas Office
    • FAQs
    • Articles
    • Blog
    • Get Tax Transcripts or Tax Returns
    • Get Your Free Credit Report
    • How to create a Skype Account for Virtual Video Meetings

Co-Debtors: What it means in a Bankruptcy

Post by Christopher Migliaccio Leave a Comment

Filing for bankruptcy can be a difficult decision for anyone. There can be many complicated aspects of the bankruptcy process, and filers may find that this is especially true when there is more than one person associated with a debt.

It’s common knowledge that a debt can be held by more than one person. Debts are often shared when people co-sign for loans, or when they are joint users of credit cards. This happens most frequently between married couples, but other family members and sometimes even close friends may be co-signers. 

What happens to co-debtors in bankruptcy? 

When one person chooses to co-sign with another, he or she is agreeing to take part in the debt and to be responsible for it. In a bankruptcy, a co-signer becomes a co-debtor, and this can cause some tricky situations.

In a Chapter 13 bankruptcy, both debtor and co-debtor receive an automatic stay; in a Chapter 7 bankruptcy, only the person filing may be granted a discharge of the debt. The co-signer, aka co-debtor, will be held responsible for that debt unless he or she too files for bankruptcy. When the co-debtors in question are a married couple, it’s a fairly simple solution (filing joint bankruptcy), but other relatives and friends who are co-debtors may not have as many options.

If the filer is a co-signer on a loan, he or she will need to list that as debt in the bankruptcy inventory, even if someone else is technically the owner and makes payments on the loan. The filer can surrender his or her interest in a separate process if necessary.

Finding Legal Help

With all the complications involved in bankruptcy, it’s important to have good legal guidance and representation. If you are filing for bankruptcy — or you find yourself in a situation in which you are a co-signer on a loan for someone filing for bankruptcy and are unsure how that person’s bankruptcy might affect you — contact an attorney for help navigating bankruptcy law. 

Categories: Bankruptcy Tagged: Bankruptcy

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Get Help Now!

Schedule a Free Consultation

If you need to speak with an attorney at Warren & Migliaccio, L.L.P.  submit our contact form or call either our Richardson or Dallas location to schedule a free consultation. We’re happy to meet at your convenience. Contact our firm today for legal counsel from experienced attorneys.

Practice Areas

  • Bankruptcy Attorney and Chapter 7 & 13 Lawyer Dallas, TX
  • Chapter 7 Bankruptcy Attorney
  • Chapter 13 Bankruptcy Lawyer
  • Child Custody Attorneys
  • Child Support
  • Dallas Divorce Attorney
  • Family Law
  • Spousal Support
  • Personal Injury

Recent Posts

  • What Do I Do if Velocity Investments Is Suing Me in Texas?
  • What You Should Know if Facing a TD Bank Debt Collection Lawsuit in Texas
  • What to Expect if Being Sued by Citibank for Credit Card Debt in Texas
  • Estate Planning For “Just In Case” Scenarios
  • What to Do When Being Sued by American Express in Texas

Locations

Richardson/Plano Office
3600 Shire Blvd #205
Richardson, Texas 75082
(972) 684-5051

Dallas Office
10440 N Central Expy #800
Dallas Texas 75231
(214) 974-3965

Follow Us

facebook logo twitter logo youtube logo


More Resources
Blog
Articles
PaymentPortal

Pick a Topic and Empower Yourself

  • Bankruptcy
  • Chapter 7 Bankruptcy
  • Chapter 13 Bankruptcy
  • Child Custody
  • Child Support
  • Personal Injury
  • Divorce
  • Divorce & Your Children
  • Family Law
  • Stop Foreclosure
  • Spousal Support
  • Auto Accidents
HomeDisclaimerPrivacy PolicyTerms of UseContact UsSite Map
© 2023 Warren & Migliaccio, L.L.P. All Rights Reserved