suing primary borrower to avoid bankruptcy
I cosigned a loan which for which the primary is now in default. I have been demanded to pay the debt. With other debts, this would put me into bankruptcy or at least a consumer proposal. Can I sue the primary borrower for the outstanding, and give it to the lender? or do I have to make payments on the debt before I can recover anything from the delinquent person?
Posted from: Alberta
Don’t you think if you sue the primary that they will simply file bankruptcy themselves? You need to speak to a lawyer (not a trustee). Whenever you co-sign for a debt you assume the risk that the primary won’t be able to pay. Co-signing is always a bad idea unless you are prepared to repay the debt yourself…