Legal Question in Credit and Debt Law in Indiana

Ex-Husband default on Loan

In the divorce my ex-husband was solely responsible for a joint vehicle loan. He did not get it refinanced in just his name. He has now defaulted on the loan, and the bank has charged it off. They are unable to find the car to repossess it. The bank is now stating they will sue me for the amount owed. What is my responsibility in this loan? Do I need to pay a settlement or is the ex-husband solely responsible because of the divorce decree?


Asked on 11/25/03, 9:27 pm

1 Answer from Attorneys
John Cook Dunn & Cook

Re: Ex-Husband default on Loan

You are stil responsible on the loan. The divorce decree does nothing to keep the bank from coming after you, if you were a co-signor. Your only recourse is against him if you end up paying off the loan. Although you may go after him for not abiding by the divorce decree, it sounds like he may not have anything to amke that be worthwhile. Your best bet if you know where he is and know that he has the financial resources is to have your divorce attorney go after him. If he has flown the coop, then your only alternative is to work out a deal with the lender or file bankruptcy.

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Answered on 11/26/03, 8:47 am


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