How does bankruptcy affect a student loan cosigner?

[racingzero]

My question involves bankruptcy in the state of: IL
Chapter 7

Hi,

I will be filing for bankruptcy soon, mainly to get rid of credit card debt. I currently have several government and private student loans in deferment. Two of the private loans have a cosigner. I know that the student loans will not be discharged, nor do I want them to be discharged. If all my debt is discharged in bankruptcy, minus the student loans, with the private banks go after the cosigners? What will happen to the student loan cosigners, if anything? The student loans are currently classified as "in-school deferred" until January 2014. They are not delinquent and no payments are due/late.


Thanks

[MSbklawyer]

Look at the loan agreement for specific details, but generally speaking the co-signer isn't responsible until there is a default by the primary. Occasionally you'll see a loan agreement that states that a bankruptcy filed by the primary is considered a default, but the validity of these clauses is questionable.