Sorry I haven’t posted in a while, been very busy, but I’m going to make a quick post here now and I will post again later:
2 Very Common Situations which come up often and are important to know about:
1.) You are married for a very long time, and then you get divorced and sign a separation agreement. A couple of months or a year later, your ex declares bankruptcy. What effect does that have on you? You have a joint account from when you got married, and you jointly owned a house.
The joint account is jointly owned by you and your wife. Which means that the trustee who your wife will hire, will have a claim to it. The trustee will move to realize the equity on the house; if you left it joint when you divorced and didn’t sever it, then you can have a very big problem. Separation agreement will not effect this. Any joint assets and liabilities are just that, joint. So the assets the trustee will seek to sell, and the liabilities you will owe from. See a lawyer as soon as possible, but it may be too late. When separating… always seek out a commercial lawyer for anticipation of this type of problem.
2.) You and your dad co-sign a credit card because you’re underage, or have bad credit. You or your dad rack up bills, and can’t pay them. What to do:
The first thing that comes to mind is to go see a licensed trustee in bankruptcy, as they can help you with your debts. But the problem that I am looking at is if you or your dad go bankrupt, the credit card company will still come after the other one. Co-signing a card essentially means that there is a contract between both of you and the bank. The bank doesn’t care how the other one gets out of it. If this happens to you, see a lawyer.