Yes, my understanding is you are liable for the debt. Good news is: 20k is not that much (it's less than I owe for college), and it's probably unsecured debt wh

Yes, my understanding is you are liable for the debt. Good news is: 20k is not that much (it's less than I owe for college), and it's probably unsecured debt which means you can tell them to go screw themselves for now. Options would be: - bankruptcy. clears your debt but leaves a mark for 7 years on your credit. it's debatable whether 20k is worth doing this over - payment plans. this will take forever - don't pay, let them get upset and possibly sue you, then settle with them when you can. This is probably the approach I would take. You would possibly be able to settle for as low as $5k. You might even call them up now, explain the situation, and start trying to negotiate settlements. I highly recommend listening to The Dave Ramsey show and reading his book The Total Money Makeover. He walks you through how to get out of a mess like this. feel free to contact me if you'd like to talk in more depth. I have been through bankruptcy and learned a lot about this stuff. d@dylanized.com