A cosigner can only be relieved of the financial obligation through refinancing of the loan without the current cosigner's participation.

In a syndicated loan, different banks arrange for the loan money. They might interact with the borrower independently to design the loan terms. The syndicated loan may be arranged by one or more lead banks and then parceled out to the others.

However, in a participation, there are two relationships - one between the borrower and the lead bank , second between the lead bank and the participant. The participant does not have to maintain any relation with the borrower but is ensured a part of the proceeds by the lead bank, that is solely responsible for servicing the loan and maintaining relationships with the borrower.

The only way to be removed is to have the loan refinanced by the primary borrower without the participation of the cosigner.

A cosigner cannot be removed from the debt obligation except by a refinancing of the loan without the original cosigner's participation.

A syndicated loan is the opposite of a bilateral loan, which only involves one borrower and one lender (often a bank or financial institution.) A syndicated loan is a much larger and more complicated version of a participation loan. There are typically more than two banks involved in a syndication.