June 18th, 2009 by Questions

How long can you be held to a co-signed loan if the bank and borrower make changes to the loan after 7 years or so without your consent because the borrower has never repaid it. Now after appx 11 years I find out my name is still on this loan and the changes were made while I lived outside the country for 6+ years so I never signed the second set of papers. The borrower is declaring bankruptcy with this loan still at the orginal amount because they changed it to a line of credit without me signing. How can I still be held to this if I I did not sign for the changes?

Posted from: Alberta


One Response to “Co-Sign”

, Barton Goth - Goth & Company Inc. -Trustee in Bankruptcy said:

Depending on how the agreement was originally signed the changes may not have any impact on whether or not your are responsible. Typically speaking once you have signed you are considered jointly and severally liable for that loan until the loan is paid off and the contract canceled or until you have the lending institution remove your name.

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