Filing for bankruptcy in South Carolina can be a complicated process. That's especially true if several different people share the same debts, including having both their names on the same loan or bank account.
Knowing what to do in such situations can be overwhelming. The co-signer of your loan could be a close friend, family or business associate. You want to make sure you're not financially responsible for their part of your joint debt. But you also don't want to do anything to jeopardize your relationship with them.
That's why you need to talk to Matthews & Megna as soon as possible. Our experienced South Carolina bankruptcy attorneys thoroughly understand the state's laws and how they relate to joint debts, cosigners and other complex legal matters. We also have extensive experience when it comes to bankruptcy and divorce, a common issue when it comes to joint debts.
As the name suggests, joint debts involve two or more people sharing the same debt. Often, this includes spouses or business partners. But other people also sometimes legally share the same debts for large-scale items such as a business, property or vacation home.
When one of the debt holders files for bankruptcy, other debt holders can be held liable for paying back the entire debt. That's why it's critical that everyone involved with a joint debt speaks to an attorney as soon as possible to discuss the implications of filing for bankruptcy.
Many people innocently co-sign a loan with a friend, family member or business associate with the best intensions. But such situations can quickly become very complicated when one of the co-signers files for bankruptcy.
And as with joint debts, it's important for co-signers of the same loans to explore all their options before filing for bankruptcy. In particular, there are significant differences depending on whether someone files for Chapter 7 or Chapter 13 bankruptcy. These differences include:
The stakes are high when it comes to bankruptcy, joint debts and co-signed loans or business arrangements. That's why it's critical that you contact our law firm right away and learn more about all the legal options available to you. We know the law and we will offer you honest, straightforward advice.