I have a question regarding a situation I’m finding myself associated with.
My ex-wife and I divorced back in December of 2009. As part of the divorce decree, she kept one of our houses, but I was still obligated to pay the mortgage and that arrangement continues today.
The loan itself has her as the borrower and myself as the co-borrower.
In the past several weeks, members of my family have been receiving calls from debt collection agencies trying to reach my ex-wife.
Thinking of potential outcomes to her financial issues… if she were to declare bankruptcy and someone takes the house from her… could it potentially impact me as the co-borrower? I know people are always hesitant to be cosigners on loans in case the primary defaults on the loan… but I’ve been making on-time payments the entire length of the mortgage. Regardless, they’ll still see it as an asset for her.
Any thoughts or input you might have would be greatly appreciated.