What Will Happen if a Cosigner on a Bank Student Loan Cannot Make the Loan Payments

[Violga]

My question involves collection proceedings in the State of: New York. The student lives in Washington.

My mother cosigned a bank student loan for a large amount for her then son-in-law. He completed college five years ago and has not made a payment on the loan. My mother pleaded with him to pay and he told her to "lay off him" and not to ask him again. My mother has been making payments for years but my father recently died months ago and his pension stopped coming. My mother is retired and makes a modest social security income and can not afford to make the loan payments anymore. She is strugling to make the school tax and county tax payments and just can not squeeze out anymore money and still be able to pay her own bills. This is so irritating to me because my ex brother in law laughs at this situation and is a self proclaimed "slacker". What are my mothers options on this loan? Should she sue him? What happens if she defaults on the loan? Will her social security benefits be garnished? Will she go to jail? Any insight would be appreciated. Thank you.

[Mr. Knowitall]

Your mother can sue her former son-in-law for every penny she has spent covering his payments.

If the loan is still current your mother should explore with the lender whether she's eligible to be removed as a cosigner based upon the payment history. If so and she's removed, she won't be responsible for the subsequent default.

In the event of a default, the lender can try to recover money from the borrower and cosigner(s).

[TedJones71782]

Your mother should contact an attorney ASAP, and sue her 'son-in-law' for everything shes spent, as well as emotional trauma. It sounds like he needs a quick lesson of reality, and karma needs to bite him where he deserves to get bitten. She should contact the Lender and explain the situation, and find out if she can be withdrawn from being a cosigner given the circumstances. They should be able to guide you in the right direction at least.

In any case, I wish you luck in your troubling. Though, please do get your mothers rightful money back from your 'brother-in-law' and smack a little bit of reality in his face.