Husband's Ex filing bankruptcy

My new hubby's ex wife is filing bankruptcy. She has a car that is not yet paid off that my mother in law co-signed for. My mother in law is an elderly lady on social security and is totally unable to pay for the car. I know the bank will come after her.
Is there anything that can be done to protect her since she is on social security? She was not on S.S. when the loan was taken out. Can she sue the ex daughter in law for the remainder?

Dear michelle,

Once the debt is discharged in bankruptcy, it is discharged. She may not sue the daughter-in-law for the money owed. Her social security is exempt from levy; however. If she has any assets they could be subject to levy and once she dies a claim could be made against her estate for the money due.


[email]JASON@LEGISLATOR.COM[/email]