Dear Experts,

A few years ago my company applied a business credit card. Since it
was a start-up with little credit history, a colleague and I (both
were executives of the company at the time) signed on the credit card
agreement as personal guarantors. Later we left the company and
totally forgot this agreement (how stupid we are!).  Now the company
is facing financial difficulties and apparently won?t be able to meet
the credit card payments. The total balance is about $16,000. Now the
bank is running after us for the money and threatening to ruin our
personal credit. We understand that although it?s unfair for us to
take the responsibility for the money we didn?t use, we are not going
to easily get away from it. We are negotiating with the bank but it
won?t make any compromise.

We?d like to know that:

1.	Do we have a chance to dispute?
2.	How much damage this could cause on our personal credit if we don?t
pay off the debt?
3.	Are we equally responsible for this? Is there any difference
between the first signer and the second in terms of the
responsibility?
4.	Can we split the bill? Can one of us go to the bank and say, hey
I?m willing to pay off half of the amount and let get off the hook
(assume the other agrees)?

Thank you very much!

You need to see the Guarantee that you signed.

The chances are that it is a joint and several guarantee. This means
that the bank can go for either or you. Or both.

I can't see any way out.

However, they will probably give you time to pay ... at a price.

Try to negotiate with your partner and the bank.