Asked in Auto Loans and FinancingPersonal FinanceLoansCo-signingStudent Loans and Financial AidMoney Management
Auto Loans and Financing
Student Loans and Financial Aid
How does the primary borrowers credit get affected if the co-signer pays the entire the loan on a leased car?
When getting a loan with a cosigner does the credit check go off of the cosigners credit or the borrowers credit?
How is a primary borrower's credit affected if he or she defaults on a loan but the cosigner pays the loan?
Asked in Repossession, Co-signing
Does the credit of the cosigner gets affected if car is not paid?
If your a cosigner and want to remove your name before the loan is paid off will this affect your credit in any way?
What are the consequences of signing a car loan when the primary borrower defaults on the payments?
Asked in Law & Legal Issues
Is the cosigner of a vehicle liable if the it gets repossessed?
What can a 70-year-old cosigner on a car loan be held responsible for if the loan is found in default?
The cosigner has the same legal obligations to repay the debt as does the primary borrower. If the primary borrower defaults, the lender can begin proceedings to collect the full amount owed plus applicable fees from the cosigner. A cosigner can be sued just as can the primary borrower. And if the primary borrower claims bankrutpcy, the cosigner will still get "stuck" with the debt. The credit report of the cosigner will be equally affected, either in a positive or negative way, depending upon the circumstances.
Asked in Debt and Bankruptcy, Credit and Debit Cards, Improving Your Credit Rating, Money Management, Credit
If the cosigner of your credit card files for bankruptcy will this effect your credit rating as well?
Is the primary on a loan obligated to pay back a cosigner if the cosigner pays off the loan without the knowledge of the primary?
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.
Asked in Loans, Mortgages, Civil Lawsuits, Money Management
What are the rights of borrowers when the cosigner is considering a lawsuit to force them to take a second mortgage so the cosigner can recover money paid because the mortgage was defaulted on?
The cosigner has the right to file a lawsuit against the primary borrower's to recover his or her financial losses due to the defaulted lending agreement. The procurement of a second mortgage does not seem viable if the primary borrower's credit was not originally sufficient for them to obtain the loan without the need of a cosigner. It is more likely the house will have to be forfeited by means of foreclosure and the cosigner will have to try to recover losses by other means. The primary borrower's best choice is to obtain legal advice as to what their options are before a lawsuit is filed against them.
Asked in Bankruptcy Law
If the cosigner on a car loan files bankruptcy what will happen to the other persons credit?
Does a cosigner need good credit?
A cosigner is only needed because the primary doesn't have adequate credit rating/history for the needed loan. Hence, the cosigner needs to have credit good enough to qualify for the loan, presumably good, at least betterr than the primary! (Credit scores are not combined or added to get to the needed level). Understand, being a cosigner is essentially the exact same as getting a loan - the cosigner is just as liable as if he got the loan on his own..in fact needs to be more responsible, because he now has to take on the obligations of the primary too, if needed, likely without the control/posession/benefit of what was purchased.
Asked in Loans, Co-signing
When a buying car with a cosigner will your credit be mentioned?
Yes. Both the primary borrower's and the co-signer's credit will be checked, mentioned, affected, show the loan as a debt, and ruined if there is a default in paying the loan. Yes. Both the primary borrower's and the co-signer's credit will be checked, mentioned, affected, show the loan as a debt, and ruined if there is a default in paying the loan. Yes. Both the primary borrower's and the co-signer's credit will be checked, mentioned, affected, show the loan as a debt, and ruined if there is a default in paying the loan. Yes. Both the primary borrower's and the co-signer's credit will be checked, mentioned, affected, show the loan as a debt, and ruined if there is a default in paying the loan.
Can a cosigner be affected on a home foreclosure?
Yes. It is a common misconception that cosigners are not responsible for the debt of the primary on the account they signed. I'm not sure how that started, or why it persists, but cosigners, comakers, coguarantors, and cobuyers are equally responsible for the debt they sign with the primary. Collections agencies will not waste a lot of time trying to get a primary to pay when there is a cosigner who is easier to locate. And, because both are equally responsible, there is no need to even try to get the primary who is not paying to do what they are already not doing when the contract was written based on the better credit of the cosigner.
Asked in Personal Finance, Loans, Mortgages
If we have bad credit will a cosigner help us get a mortgage?
How is a cosigner affected when the primary signer is late on a payment?
If one files bankruptcy and has a co-signer will if affect their credit rating?
If you have bad credit does having a cosigner with good credit on the loan lower your interest rate?
Asked in Loans, Co-signing
What happens to a cosigner of a car loan when the primary loan holder files bankruptcy and the loan is discharged and they do a voluntary repossession?
Are primary card holders credit affected by adding a user?
If you are not the primary person on the mortgage is you credit rating affected?