After our divorce, my ex ran up an existing line of credit at her bank that I was a co-signer on many years ago. How do I get my name off the loan?

The line of credit had no balance at the time of the divorce so it was not an issue. After our divorce she ran it up to over $7,000 and she has been late with payments and it is hurting my credit score and I can’t get loans. We have both told her bank to take my name off but they won’t. I’m about to send a copy of the divorce decree. If this doesn’t work do I need to get a lawyer? How do I go about this?

Asked on May 25, 2009 under Family Law, Texas

Answers:

J.M.A., Member in Good Standing of the Connecticut Bar / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

As for the line of credit, you are not going to be able to undo the co-sign without the banks approval.  I have never heard of a bank removing the cosignor without some for a substituted security.  If you ex is in default, they can go after you for the full amount - even if she were to declare bankruptcy.  You should hire a lawyer to try to negotiate a settlement of the debt.  while it may hurt your credit, you can rebuild it over time.  the sooner you resolve this the better you will be.  get a lawyer that deals with divorce and explain the situation to him.


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