Co-signer- Do I have any recourse?

[mcguire0010]

About 3 years ago I co-signed for a student loan for a girlfriend. It was a $9000 loan that was mailed to her directly that she deposited, paid the school part of it, and used the rest at her own discretion. I have not seen or heard from her in just under 3 years. I recieved a bill yesterday for this loan and it seems she has filed for bankruptcy. I spoke with the company this morning and the principle balance is approx. $11,500 ($136 per month for 15 years). I have spoken with her and she seems fine with me having to pay this debt for her, even though I never saw a cent of the money. My question is am I completely stuck with the bill or do I have any recourse? I realize I should never have co-signed and never will again, but I don't think I should get stuck with this. Any help would be much appreciated!! Thank you.

 

[Michael Wechsler]

I haven't seen the agreement and don't know. But in general, the bad news is that if you co-signed and the co-signor is out of the picture, you're in trouble. The creditor is concerned about one thing - getting back the money they are owed. Try getting the agreement reviewed by a legal professional to ensure that you will owe this creditor the money and, if you do, try to settle given the circumstances. It's a tough lesson to learn and I'm sorry to hear.