Location: Illinois
I am a co-signer on my Daughter’s house. She is considering filing for bankruptcy in Illinois due to high credit card and medical debt due to her being out of work and losing medical insurance. She is back to work, but earns less than $30k per year. The property she owns is a car worth less than $2k and a house with minimal equity. If she files, what is the impact on me as a co-signer on her house?
Comments
The bankruptcy doesn’t help you, only your daughter. They can come after you for the remaining balance, plus whatever interest and penalties they are entitled too.
Is she planning to reaffirm the mortgage and keep the house?