Legal Question in Credit and Debt Law in Georgia

Your option is just what you agreed to do in the contract - pay the debt. Otherwise, your credit will be harmed. This is exactly the risk you accepted when you signed the paperwork.

Co-signing is A BIG MISTAKE! Never co-sign anything for anyone. The reason is that you get none of the benefits and all of the burdens in that if they do not pay, then the lender can come after you for payment.

My advice would be to get the primary holder to pay what they can through bankruptcy and that you will have to do the rest. However, you may be able to settle the debt for less than what is owed. The more money you can offer upfront, the better a settlement you can get. If you want to drag this out, the creditor will want more cash. Can you afford to pay a lump sum? If not, then you will have to make all the payments. And do not just pay monthly minimums as you will be in debt forever.

Remember to get a written letter of the terms of any settlement BEFORE you pay the creditor.

If there is just no way to pay, it will depend on your circumstances. Are you working? If so, are you self-employed? Is this your only debt? How large is this debt and could you reasonably afford to pay or not? Georgia does have wage garnishment if the creditor gets a judgment against you. Even if your income cannot be touched, they can levy on your assets and your bank account. If the debt is large or if you have other debts, you may want to consider bankruptcy as a last resort.