Expert: Terry Leeders - 5/9/2008

Question
I am thinking about filing for Chapter 7.  However, I have an auto loan that my father is the co-signer on.  I do not want to include this car on the bankrupty note.  I am able to make the car payments with no problem and I don't want it to ruin my father's credit.  Can I exclude the car from the bankruptcy claim?  And if I can, will it still affect my father's credit in anyway??

Answer
Hi Michelle.
While the debt does need to be listed in your case, you can reaffirm the debt to stay responsible for the debt.  It won't affect your father as long as you stay current on all payments, which is the same, even if you weren't filing for bankruptcy.