CoSigner and Ex trouble

[hussmj]

What is the name of your state? Illinois
I cosigned on a debt consolidation loan for my ex-husband(none of the debt is mine), but we were still married at the time. We did not include this in our divorce settlement but we had a verbal aggreement that he would continue to make the monthly payments until payed off. The only reason I co-signed is because he could not get a loan on his own. The collateral on the loan is the money in my checking account. I have recieved several reminder notices asking for payment, and have had my account garnished twice for the payment. I have tried several times to contact him and ask that he make the payments or refinance without my name but he will not answer the phone. We live in different states and I have no other way of getting ahold of him.
What can I do to avoid this damaging my credit further?
Melissa

[Ladynred]

Not much, you co-signed that puts you in the hot seat if he's not going to pay. Even if you had included this in your divorce settlement, it would not have mattered, creditors are not bound by your divorce.

The only way to get YOUR name off the loan is for him to re-finance it. About your only other option is for you to pay the loan off, then sue him for the balance that YOU paid off.

You say they garnished your bank account ?? Is there a judgment out there against the 2 of you or was this loan taken out with the SAME bank that your checking account is in ? If the latter is true, then the bank has the right of set-off against your account.

[kyle_kyle_p]

I'm no way a legal person, but you could always just open a new account, transfer all your funds and the close the other account.