My wife, a school teacher, co-signed a loan for a friend who is now refusing to pay. This person is capable of paying, but the bank is pressuring my wife and even approached her at her workplace. It’s putting a lot of stress on her. Why isn’t the bank going after the actual borrower? It’s a government bank. Any advice?

As a co-signer, your wife is equally liable for the loan. The bank is within its rights to collect from her. However, she can try negotiating with the bank to have the actual borrower make payments directly. She can also consider legal action against her friend to recover the amount. You should consult a lawyer to explore legal options and protect her rights.