My question involves bankruptcy in the state of: Illinois
My ex-wife retained our home with the divorce. The 1st & 2nd mortgages are in both names and selling right now would mean we both lose a lot of money. She declared Chapter 7 bankruptcy for her credit card debts. I was not a co-signer or authorized user on any of her cards. She planned on reaffirming the mortgages to keep the house for our kids. I was just informed that the mortgages were not reaffirmed and she is thinking of paying the first mortgage and letting the second mortgage go.
I believe that makes me, as a joint owner, responsible for the 2nd mortgage payments. I am not sure what my options are but I assume my credit rating has already been ruined, even if she continues to make payments. Can I force her to reaffirm or can I take over all mortgage payments and get the house back? I am feeling pretty helpless right now as not only did I get divorced just a few months ago but now I am going to start getting calls from creditors on payments that the divorce decree states are her responsibility.
Will my credit rating be destroyed even if she continues to pay on our joint debt since she has already received the letter that the debt has been discharged? Any information would be greatly appreciated. I am even willing to offer to pay the costs for the debt to be reaffirmed if it isn't too late.