Yes, your bankruptcy petition will include the name and address of all co-signers, and they will be notified of the filing.
That doesn’t mean that their credit will be impacted though.
If you are current on your student loans, or are using a bankruptcy filing to free up enough of your cash flow to get and stay current on the loans, the bankruptcy filing may be an extremely positive development from the point of view of the co-signer.
Because student loan co-signers are often parents or other relatives, it can be embarrassing to have to share news of a bankruptcy, but if you’re struggling to stay afloat, don’t let your pride make you suffer needlessly.
Bankruptcy is a legal and appropriate way for people to get clear of past mistakes or earlier risks that didn’t pan out.
The attorneys at Zelenitz, Shapiro & D’Agostino can help you come back from debt.
Call us today at 718-599-1111 for a free consultation.