QUESTION
Can co-signors be reported to credit agencies?
Asked on Mar 20th, 2014 on Divorce - Michigan
More details to this question:
My ex-wife was awarded our vehicle in divorce and solely responsible for all payments to satisfy loan. She is not making the payments and the creditors are contacting me as I was a co-signor. Have given them her addresses and all contact numbers. They are threatening to report me to the credit agencies. Can they legally do that even though I have provided them with court documentation that she is solely responsible?
6 ANSWERS
Dispute Resolution Attorney serving Seattle, WA
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Law Offices of Helene Ellenbogen P.S.
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Yes, the creditors can. You can go to court under the hold harmless agreement and demand payment from her.
Answered on Mar 21st, 2014 at 2:28 PM
Social Security Disability Attorney serving Melbourne, FL
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Law Office of Robert E. McCall
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Divorce order cannot change the underlying contract. Signers are liable, divorce court can only hold deadbeat in contempt. You be reported to credit bureaus.
Answered on Mar 21st, 2014 at 8:17 AM
The court order is valid only between the parties. It is not binding on third party creditors. They can come after you for the payments. If you wish to protect your credit you must take steps to satisfy the creditors. You should consult a family law attorney to review all of the relevant facts and documents and advise you.
Answered on Mar 20th, 2014 at 1:15 PM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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Since you were not removed from the note, yes they can do that. You can, I suppose, move for her to be held in contempt or sue her for any moneys you expend on the car.
Answered on Mar 20th, 2014 at 1:03 PM
Although the Court ordered your wife to be responsible for the vehicle, the ?creditor' does not have to follow the Court?s order. Yes, they can come after you. You do have recourse, however. Save your credit by paying the outstanding amount to the creditor, then request a hearing with the Court to force her to pay you back + interest and costs. If you want to retain an attorney, she will also have to pay your attorneys fees and costs, assuming she looses in Court. Good luck.
Answered on Mar 20th, 2014 at 1:02 PM
Business Law Attorney serving Bingham Farms, MI
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James T. Weiner, P.C.
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If you are a co-signer on a loan and it is not being paid they can report you to a credit agency. If she is legally responsible pursuant to the divorce judgment that does not eliminate your responsibility to them..However, you can file a motion for her contempt (because she is not following the divorce judgment) in the original divorce court to force her to make the payments on threat of jail and further fines.
Answered on Mar 20th, 2014 at 1:02 PM