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Does a cosigner to an auto loan have to report it on taxes?

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2010-12-03 05:22:56
2010-12-03 05:22:56

Yes because they are dually responsible for the car's payments. The loan also likely depended on their credit or income in order to purchase the vehicle; therefore, they have not only cosigned on the loan, they have co-purchased the vehicle.

Imho, No ... makes no sense, especially if nothing has been paid by the co-signer.

Besides, the interest on auto loans is not tax deductible. I was a co-signer on my sons car and never had to report anything on my taxes. The co-signer is only responsible for the loan in case the original signer defaults.

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Related Questions


i was able to get an auto loan with the help of a cosigner and im under 18


A cosigner- someone who agreesto pay the loan if you default


No, the refinancing without the consent or knowledge of the original cosigner created a breach of the original lending agreement and the cosigner is no longer legally obligated for the debt.


yes it will, as a co-signer you are held just as responsible as the primary loan holder and it will appear on your credit report no matter if the payments are made on time or if they are late.


will primary on a auto loan have right to the vehicle if cosigner has been paying loan for 15 months and has possession of vehicle will primary on a auto loan have right to the vehicle if cosigner has been paying loan for 15 months and has possession of vehicle


No, a cosigner can only be relieved of the financial obligation by a refinancing of the loan agreement without them being a participant.


By co-signing the loan, they are guaranteeing that you will repay the loan. They do not need to be on the auto insurance policy, but it would be in their best interest.


Buy cobuyer I wonder if you mean cosigner on a loan. If this is the case then the answer is no. As a cosigner you are simply agreeing to pay the loan if the person who took it out does not. It is in his or her name and you are responsible for it if they do not pay it.


They would need to have the vehicle refinanced in their name only or obtain another cosigner for the refinancing.


No. The cosigner would have to apply for a loan in their name using their credit, income data.


A cosigner is obligated as long as the loan exisists. The loan must be paid off or refinanced into the primary borrower's name only to release the cosigner.




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.


YES !!! He/she should certainly discuss it with the cosigner. It may be a gift or it may just be that the cosigner doesn't want to have that note appearing on his/her credit report. Whatever the reason, even if the cosigner did it as a gift, the primary should acknowledge and express appreciation. But be prepared if the cosigner expects the loan to be paid back.


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


Chances are unlikely. Unless, you have perfect strong credit and a lot of money


Yes, you can switch the cosigner to the primary on a loan. The way to do this is to have the loan refinanced.


The only option is for the loan to be refinanced without the particpation of the present cosigner.


The title has nothing to do with the loan. The loan will need to be refinanced using a different cosigner or only the primary borrowers.


The answer is that the cosigner would be left responsible for taking over the payments. If the cosigner wants to maintain his or her credit rating (which is probably damaged due to your filing bankruptcy), If the consignor does not want the auto loan people to sue for any remaining balance, then he or she will need to keep making the payments. If the auto loan company sues for any remaining balance and gets a judgment, then the auto loan company will go after the assets of the consignor and or garish their earnings. attempt o seize their assets or garnish their earnings.


No. You are only cosigner on the one vehicle you signed for. All bets are off once the car is traded.


A cosigner is the person who agrees to pay off the full balance of the loan if the primary borrower fails to pay. A cosigner signs the loan documents and guarantees payment of the loan even if they have no ownership in the property covered by the loan.


The lender will probably insist that all names on the title also be on the loan, but not the other way around.


Nothing. The only option for being remove as a cosigner is to have the original loan refinanced without the cosigner participating.



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