No. It only affects the lender ability to get paid if the primary borrower defaults.
If the account the cosigner is on is included in the bankruptcy it will appear on their credit report. In most cases the cosigner will not be relieved of the debt when the primary holder files for bankruptcy. The creditor(s) can then pursue the cosigner for the collection of money owed.
The cosigner's credit will only be affected if the person that they cosign for defaults on the loan. The bankruptcy will not affect the cosigners credit.
A cosigner cannot simply remove their name from the contract. The cosigner is obligated equally with the primary borrower until the loan is paid. A cosigner's credit history will be affected, hopefully in a positive way.
Depending on the lending laws in your state, yes. Some states require lenders to consider both applicants' credit scores, some only require the primary applicant's score be considered when determining the rate, while using the cosigner's score to determine whether or not to apply. Either case though, a cosigner with a better credit score than the primary applicant can only positively affect the interest rate or not affect it at all; it won't make it any worse.
It will have no affect on the mortgage as long as the lending terms are met by the primary borrower.
If the account the cosigner is on is included in the bankruptcy it will appear on their credit report. In most cases the cosigner will not be relieved of the debt when the primary holder files for bankruptcy. The creditor(s) can then pursue the cosigner for the collection of money owed.
The cosigner's credit will only be affected if the person that they cosign for defaults on the loan. The bankruptcy will not affect the cosigners credit.
Because the cosigner guaranteed the to pay the loan if you do not. You fail to make a payment and the lender will be looking at the cosigner for the payment. You not only have an obligation to the lender who lent you the money but to the cosigner who also signed his name to the loan agreement.
A cosigner cannot simply remove their name from the contract. The cosigner is obligated equally with the primary borrower until the loan is paid. A cosigner's credit history will be affected, hopefully in a positive way.
The creditor will seek repayment of the car loan from the cosigner. As long as the cosigner pays, their credit will not be affected. However, if they are unable or unwilling to pay, the debt will be pursued like any other bad debt, and it will affect their credit rating.
Yes. That is the whole purpose of having a co-signer. They are liable for repaying the loan if the primary borrower defaults.
If you are talking about someone who cosigned for your loan filing bankruptcy, As long as you continue to make your payments on time, nothing will happen. If you are talking about someone you cosigned for taking bankruptcy, you may very well have to pay this loan. Contact the lender.
Depending on the lending laws in your state, yes. Some states require lenders to consider both applicants' credit scores, some only require the primary applicant's score be considered when determining the rate, while using the cosigner's score to determine whether or not to apply. Either case though, a cosigner with a better credit score than the primary applicant can only positively affect the interest rate or not affect it at all; it won't make it any worse.
Typically, yes. When a person co-signs a loan they are EQUALLY responsible for the debt. When one party files for bankruptcy they are not going to be responsible for payment unless it falls within a category of non dischargeable debts (in which case they would) but you should let them know of the almost certain liability. Beyond the requirement to pay for the debt, the cosigner may also have to pay late fees or collection costs associated with a default on the loan. The creditor can use the same collection methods against the cosigner as against the primary borrower. If the primary borrower doesn't pay and goes into default, it will ruin the cosigners credit. Cosigning on another person's debt may affect your own ability to receive loans. The debt is also considered yours and raises your own outstanding balance. Cosigning a loan for a son or daughter might affect your estate or gift tax exemptions.
Whether a repossession is done "voluntarily" by the primary or through the action of the lender, the primary borrower and the cosigner are still legally responsible for all the terms of the lending agreement. The affect the repossession has on the cosigner's credit history will depend upon the actions of the lender to recover the debt owed.
It will have no affect on the mortgage as long as the lending terms are met by the primary borrower.
If she is discharging debts that were joint or she was required to pay as part of the divorce, you bet it affects you. The creditors will look to you for payment of the full amount due.