Legal Question in Bankruptcy in California

Cosigner of auto loan which has not been discharged through BK CH 7

I filed a Chapter 7 bankruptcy in September 1995 with the help of a lawyer. I filed for bankruptcy because a friend of mine was irresponsibly using my credit and default on them. In the credit report, somehow he was listed as my husband but we never got married. I went to the Bankruptcy Court once. Due to family emergency, I left U.S before receiving the final bankruptcy paper from either the lawyer and the bankrupcy court.

September 2001, I am back in the U.S because of marriage (my husband is a U.S Citizen). Out of curiosity, I ran a check on my credit report through Experian. I found out that one auto loan debt which I was the cosigner has not been discharged through bankruptcy and went to the debt collector. The debt collector sent me letter asking the primary borrower and me for a payment.

The questions is:

1. How come this auto loan is not discharge through bankruptcy?

2. What should I do?

3. I have to send letter to the debt collector within 30 days, what should I say?

4. Do I need to get a copy of the final bankruptcy paper? How do I do it?

5. My husband want to put me in the title of the house he just bought. Can the debt collector obtain judgement on the house?


Asked on 2/19/02, 5:54 pm

2 Answers from Attorneys
Mark Markus Law Office of Mark J. Markus

Re: Cosigner of auto loan which has not been discharged through BK CH 7

I see no reason why the debt would not have been discharged. If you received a discharge in your Ch. 7 case and the auto creditor did not object to discharge, then you were discharged from that debt (assuming you listed them as a creditor or that this was a no asset case).

I would send a letter saying that they were discharged in bankruptcy; attach a copy of your notice of discharge and a copy of your schedules listing them as a creditor. You can obtain copies of each by calling the bankruptcy court where your case was filed.

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Answered on 2/19/02, 6:26 pm
Victor Hobbs Victor E. Hobbs

Re: Cosigner of auto loan which has not been discharged through BK CH 7

If you listed the car loan it was discharged if you returned the car. If you keep the car you keep the loan. the debts are too old to enforce at this time. Unless they learn you left the country. Then that may have stayed the running of the statute of limitations. However, if you've been in this country for four of the last several years, since your BK. The loans are valid but unenforceable. So do not reaffirm them by making a payment.

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Answered on 2/19/02, 6:26 pm


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