Hi and thank you for your question. In the future, you can request me to answer any further questions.
When you strip off a lien in bankruptcy, you pay it down at the unsecured rate in the chapter 13.
Since your ex-spouse is cosigned on it, she'll be on the hook for the balance.
Which, could come back to you if the marital settlement agreement said you'd be responsible.
She could then enforce that decree to still get you to pay the difference, and if you don't you could be held in contempt for failure to do so.
so, i don't think that is the best option for you, depending on what the balance is and what your decree states.
Thanks so much for this advice. We're still friends and I wouldn't want to put her through all of this back and forth... Sounds like there's no way to negotiate just my 50% interest?
you would have to negotiate that with the lender, it is unlikely that they would want to give up a responsible party, but you never know.
keep in mind any discount offered outside of bankruptcy can create tax issues.
so talk to your tax advisor and bankruptcy lawyer too.
thanks for your question, good luck.
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