How long does a bankruptcy stay on a debtor’s credit report?

By April 23, 2014Louisiana Bankruptcy

Can co-signers be protected if bankruptcy is filed?

Yes. The filing of bankruptcy creates an “Automatic Stay” in favor of the debtor and any co- signers or guarantors of the debtor’s bills. In order to protect the co-signer after the filing of bankruptcy, the debtor will have to “reaffirm” or keep paying the debt in a Chapter 7 bankruptcy, and agree to pay the debt in full, with interest, in a Chapter 13 bankruptcy over the course of the Chapter 13 Plan (three to five years).

Sam Henry IV, Attorney At Law
502 Trenton Street
West Monroe, LA 71291