In Michigan. My fiancee is on the title of my home. 4 years ago, I had her co-sign a loan and since then I have refinanced into a second mortgage, which the mortgage company said she did not have to co-sign, but she would have to sign a couple forms because she is listed on the deed.
She did co-sign for me to purchase a pool earlier this year. It's same as cash to be paid by July 2007.
She bought a truck and had her dad co-sign for the truck.
Her father lost his job and accepted his retirement pension. She co-signed for him to refinance his house. He ended up defaulting on the home loan and started to file for bankruptcy, but then had a stroke.
The day before her dad had his stroke, my fiancee had surgery that had her on disability from work for 3 weeks, which only was about 50% pay for 2 weeks. Then she took unpaid FMLA to help care for her dad until she could get some type of placement for him.
So, with her lack of income she ended up defaulting on the truck loan in which her father co-signed. Plus, got behind on 2 credit card payments.
She is now back at work and just had her truck repossessed.
So, as you may of guessed, there are a few questions resulting from this.
1. She can't afford to get her truck back from repo, so she's considering filing for bankruptcy. She has the truck payment and the 2 credit cards that she'd like to include in the bankruptcy. She also has just a couple more payments for a computer that she has kept on time, so she'd like not to include that. Which bankruptcy would be suited for her?
2. After she files bankruptcy, will this affect my loan for the pool, that she co-signed for? And more importantly, do creditors have any recourse to come after my house or my assets, because her name is on the deed?
3. Since creditors probably can't go after her father's pension, we're worried that they will come after her after they take possession of his house. When she files bankruptcy, will she be responsible for her dad's mortgage that she co-signed for?
Thank you for any advice.

