Bank will not release liability??

[kdowd771]

What is the name of your state? Tx
I filed for a chpt 7 bk on MAy 16th. It included on it a piece of property I had deeded over to my hopefully stbx. She is on the deed by herself. I am on the mortgage by myself. We are in a divorce going no where fast. no kids. no assests. lots of debt. On advice from lawyer he said to file BK. So I did. Since my spouse is also listed as a co-signor/co-debtor on another piece of property she was notified about the BK.

She in turn started making the payments on the property I had deeded over to her. I talked with the mortgage company about this and they said they will not foreclose on it as long as the payments are being made. They don't care where the money comes from as long as they get it.

Question is this: Will this debt be discharged at my hearing? or since the loan is still current and the bank will not foreclose on the house will I still be liable for this debt after my hearing?

 

[Cindyl]

I thought you could not include real estate property in a chapter 7. I was told if you were late on a house payment you had to do a chapt. 13 - but then again you are not late on this since she is paying it. But if your ex is paying on it - why don't you just let her keep paying and wash your hands of it. Since she is making the payments anyway - can't you sell the property to her to pay off your loan?

Anyway - I don't think this will be discharged with your BK - but if you go into default - she as the co-debitor will be responsible anyway.