Co signer and credit report?

Guest 0.10 Dollars($)

Myself and my wife cosigned for our son to lease a car. He is going Ch 7 but is going to continue to pay on the lease and is not late. Will anything show up on my credit report stating that the loan is in Ch 7 even if he is not late or does not miss a payment? He does not want his mother to know and she looks over our credit report every month? Thanks, Sean

larry · Joined: 27 Jun 2007 Posts: 2910 403.53 Dollars($)

Hi Sean,

Welcome to the forum.

Why is your son going to file ch 7. It will have a huge negative effect on his credit report and drop almost 250 points and also will be shown for 7 years on his credit report. Filing bk should be the last option to choose. So I shall suggest if possible avoid filing BK.

Feel free to ask if you have any further questions.

Best of luck,
Larry

Caron · Posted: Wed Mar 19, 2008 5:11 am Post subject: RE: chapter 7 on credit report

Hi Sean,

Is the loan included in Chapter 7? Even if it not, the chapter 7 will be reflected on your son's credit report. But why does he wish to file bankruptcy? Please give us some more details of his situation. Perhaps we can suggest an alternative and keep his credit unaffected. Smile

Good luck

charlesarmbruster · Posted: Wed Mar 19, 2008 1:53 pm Post subject:

If you both co-signed, it is her right to know if anything will jeopardize the monthly payments. Trust me -- you don't want to hide this.

You need to determine if the automobile debt is to be included in the Chapter 7 filing -- it doesn't sound like it will, but you are trusting your son for the information.

Normally, steady and prompt payment on the installment debt is all your report should reflect -- any liens or judgements against your son would not, since the only tie is the co-signed debt. I would think this also applies to a bankruptcy filing -- unless, the debt is included in the filing!

charlesarmbruster · Posted: Wed Mar 19, 2008 2:00 pm Post subject:

Also, after checking, a Chapter 7 liquidates his holdings -- I don't know how he can keep the lease.

A Chapter 13 would allow this.

Guest 0.10 Dollars($)

medical bills are more than we can pay. He charged around 100,000 worth of bills during a 10 year period and we cannot pay. Sad thing is he has a 700 credit score but we are out of credit cards and loans to keep paying. Any suggestions. Any good dept management companies you know of? They said as long as he keeps paying and reaffirms on the lease everything is ok? It should not say anything on either credit report? Thanks, Sean

Samantha · Posted: Thu Mar 20, 2008 2:45 am Post subject: RE: debt management company

Hi Sean,

Debt managment can be a good solution to your problem. With the help of such a program, you will be able to pay off your medical bills. The best thing about it is, it doesn't affect your credit score negatively. However, it may be reported that you are paying off the bills through the help of a dmp.

I know about a debt community - debtconsolidationcare.com which helps people get out of debts through debt consolidation, debt management and other plans. You can talk to the financial coach there and hopefully you will get some solution to your problem.

Hope this helps...

God bless you.

Samantha

Guest 0.10 Dollars($)

Anyone ever have success with debt settlement? He can't afford management

larry · Joined: 27 Jun 2007 Posts: 2910 403.53 Dollars($)

Hi Sean,

Welcome back.

Thousand of people have done successfully from the community Samantha has referred to you. Just check out this community. I think it will be helpful for you.

Feel free to ask if you have any further questions.

Best of luck,
Larry

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