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If you have no credit at all would having a co-signer to help get a personal loan get credit started?
Wiki User
∙ 8y ago
The requirements needed to begin building a credit record would depend on each lender you applied with. Having a co-signed personal loan is one method, and this might work for you. Opening up a secured credit card is another option. Another great way to open an account is to purchase a vehicle. Car dealerships often are the entry point for consumers into their first credit obligation.
Find out what the requirements are from the financial institution before you submit an application. They may be able to tell you upfront if you have a chance of being granted the account. If the answer is no, make sure to follow up and find out how to turn that "no" into a "yes".
Establishing credit is the first step in turning a citizen into a debtor. This process is a substantial part of our economy and lenders have a vested interest in helping that happen for you.
Wiki User
∙ 8y ago
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Does having a cosigner help your credit?
Yes, having a cosigner on a loan or line of credit/ credit card can help your credit. It can help because, assuming they have good credit, you are more likely to get approved, which gives you a chance to build your credit. The danger is if the cosigner where to default on payments or abuse the account (such as using a credit card you both are signers on to rack up a lot of debt). So if you pick your cosigner carefully it can help you- but remember what you do on the account effects their credit, so make sure you are also responsible with the account.
Is a cosigner required for a personal loan?
Only if you don't have established credit. Additionally, your co-signer must be just as creditworthy as you. That's because if you fail to fulfill your loan obligations, "they" will go after your co-signer. And he or she had be worthy of having co-signed: credit, etc.
Does a cosigner have to have good credit?
Absolutely. The whole point to having a co-signer is the creditor wants assurance that the debt will be repaid.
Does a cosigner have to have a good credit rating to cosign?
Yes, that is the main purpose of having a cosigner. The person is accepting equal resposibility for repayment of the debt if the primary borrower should default. Therefore a cosigner needs to the have acceptable financial status as required by the lender.
Where can someone find a personal credit report online?
A personal credit report online can be found on FreeCreditReport. This site allows for people to see their personal credit report for free, instead of having to pay through another service.
Does having a cosigner help your credit?
Yes, having a cosigner on a loan or line of credit/ credit card can help your credit. It can help because, assuming they have good credit, you are more likely to get approved, which gives you a chance to build your credit. The danger is if the cosigner where to default on payments or abuse the account (such as using a credit card you both are signers on to rack up a lot of debt). So if you pick your cosigner carefully it can help you- but remember what you do on the account effects their credit, so make sure you are also responsible with the account.
If your car was repossessed but redeemed by the cosigner can the bank report a repossession on your credit but not on the cosigner's?
VERY possible. reporting repos is up to the LENDER(of course, they usually do). It was very much repoed from you sooo. Nothing you can do about the co-signor having or not having a repo on their credit.
If you apply for an auto loan and have a cosigner will that decrease the amount of positive credit you get from having that loan?
Nope
Do You need a cosigner if your married?
Having a cosigner has nothing to do with your marital status. It's all about your credit. If you do need a cosigner for lets say a car loan, then it's better to have your spouse sign than ask a relative/friend to sign. Unless your spouses' credit is bad, then you have to look into a person who has good credit. Hope this helps!
Is a cosigner required for a personal loan?
Only if you don't have established credit. Additionally, your co-signer must be just as creditworthy as you. That's because if you fail to fulfill your loan obligations, "they" will go after your co-signer. And he or she had be worthy of having co-signed: credit, etc.
If you have bad credit does having a cosigner with good credit on the loan lower your interest rate?
No. You are considered the primary debtor and therefore the interest rate would depend on your credit history.
Does a cosigner have to have good credit?
Absolutely. The whole point to having a co-signer is the creditor wants assurance that the debt will be repaid.
Does a cosigner have to have a good credit rating to cosign?
Yes, that is the main purpose of having a cosigner. The person is accepting equal resposibility for repayment of the debt if the primary borrower should default. Therefore a cosigner needs to the have acceptable financial status as required by the lender.
I just started a new job. I have a bad cedit history. How do I qualify for an apartment lease without having a cosigner a cosigner?
Most "little" landlords - the ones without mega/multi units - do not run a credit check. Have the security deposit and first and last months rent ready and you'll find a place.
Does it help to have a co signer for an auto loan if you have bad credit?
If you have bed credit, sometimes having a cosigner is the only way you can get an auto loan. The people who lend you the money so you can purchase the car want their money back with interest. If you have bad credit, they may think you will not pay them back. They may think your cosigner does not want his credit ruined and will pay them back. So, while they would not give you an auto loan, they would give you an auto loan with a cosigner who has good credit.
Is it better to avoid having a cosigner if you're trying to build your credit?
Sometimes you can't establish good credit unless you have a co-signer. Such as when you first purchase a car or whatever. It is better to be able to do it on your own. Although in the long run, it is how well you live up to your personal financial obligations that really counts.
Where can someone find a personal credit report online?
A personal credit report online can be found on FreeCreditReport. This site allows for people to see their personal credit report for free, instead of having to pay through another service.
