A Chapter 7 bankruptcy discharges most unsecured debts, like credit cards, and allows you to keep secured debts like car loans and home mortgages if you agree to repay the loans. If you have a cosigner on your debts, your cosigner will still be responsible for the debt, despite your bankruptcy filing. When you (the debtor) files for bankruptcy, an automatic stay goes into effect and prohibits creditors from taking any action to collect your debts.

And in a Chapter 13 bankruptcy, there is also a codebtor stay—which means the automatic stay of collection efforts also applies to any codebtors, including cosigners. While the codebtor stay is in place, creditors cannot collect against a cosigner. The codebtor stay continues until the bankruptcy case is over, unless the court lifts the stay at the creditor's request.

In Kansas, Chapter 7 bankruptcy allows individuals to discharge most unsecured debts, such as credit card debts, while retaining secured debts like car loans and home mortgages, provided they continue to make payments. However, if there is a cosigner on any of the debts, the cosigner remains liable for repayment even after the debtor's discharge. Upon filing for Chapter 7 bankruptcy, an automatic stay is triggered, preventing creditors from pursuing debt collection from the debtor. In contrast, Chapter 13 bankruptcy not only provides an automatic stay for the debtor but also extends this protection to cosigners through the codebtor stay. This means creditors are barred from collecting from cosigners for the duration of the Chapter 13 bankruptcy case, unless the court decides to lift the stay upon a creditor's request. It's important to note that while these federal bankruptcy rules apply in Kansas, specific local court procedures and exemptions may also affect the bankruptcy process.