Legal Question in Bankruptcy in Illinois

My daugther Nicole, co-signed for a girl named Tommie, we live in Decatur, Ill, Tommie decided she wanted to leave Decatur, because she did not like it here, so she took the car to Ruskin, Florida, and said she would continue to make the payments, it has now been eighteen days late on the car payment, she has been late, so they contacted my daughter and told her, if Tommie, did not bring back the car, to Decatur, they would have my daughter arrested, for theft, we called Tommie and left messsages on her phone, and her facebook page, she does not respond, she doesnt care, also the car does not have any insurance on it by now, so we are afraid if she hits someone, Nicole will get sued, because her name is on the car, with her. Since we cant find the car, and Nicole cant afford to pay these payments, she only works at resterant, she does not make very much money, and we dont want them to garnish her wages, so that girl has a car to drive in, If we file bankruptcy, can she get her name off the car, where she is no longer responsible, for getting the car back, because we have no idea, where it is in Ruskin, we know she is on Section 8, but they wont give us a address to pick up the car. If we file bankruptcy to get Nicoles name off the title, is she still responsible to get the car back to the buy here pay here place. Thanks for you help we are desprerate for some anwers and dont really have the money, but dont know what else to do.


Asked on 9/10/11, 8:23 pm

1 Answer from Attorneys
Sanford M. Martin Sanford M. Martin, P.A.

First, your daughter cannot be charged with theft merely because she is a co-debtor. Theft is a criminal law rather than debtor law issue. The threat from the lender is to pressure your daughter; it is a typical but unethical creditor tactic which has no legal basis. However, if the car is not returned or the debt paid for which Nicole is a co-debtor, her wages could be eventually garnished. Filing for bankruptcy under Chapter 7 can discharge that debt and avoid any such action against your daughter; however, it is advised to wait until it is certain that the car will not be returned and that your daughter will be pursued by the creditor, not just threatened by telephone or mail. Such actions such as garnishment or legal action will require a few months depending on the legal procedure, state of jurisdiction, etc. It is unfortunate that your daughter may file for bankruptcy because of this car debt matter. So, cooperate with others regarding return of the auto but Nicole should not feel unduly coerced by the creditor's efforts to intimidate her.

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Answered on 9/11/11, 6:28 am


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