Cosignor
My ex filed for bankruptcy during our divorce. I had cosigned for a loan for his truck while we were together. His Licensed Insolvency Trustee advised me that the bank had been notified and had a certain amount of time to collect the vehicle in which they did not, and the Licensed Insolvency Trustee sold the vehicle and received funds to pay off my ex’s debts. Now the bank is coming after me for the amount owing on the loan for the vehicle a year after the fact. What course of action do I have??
Thank you for your time,
Tina
Posted from: Ontario
If you cosigned on the debt then you are fully responsible for the remaining balance of the truck loan. So you will have to deal directly with the lender on this debt to negotiate payment terms directly with them. If you are not in a position to be able to afford to arrange a payment schedule you may need to look to alternatives (i.e. bankruptcy, consumer proposal, or a consolidation loans).
But your ex’s bankruptcy can’t release you from a debt you have signed on.