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Yes. Co means equal. You are both equally responsible for the loan.

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New HeadlineCosigners are not reported in MI, IL or CO. It is state law.
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โˆ™ 2015-07-15 19:49:22
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Q: If you cosign a loan will the loan amount show up on your credit report as a debt even though you are not the primary borrower?
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What are your rights if you are a primary borrower of a vehicle and the seconday borrower is not paying the loan?

If the secondary borrower is not paying the loan, you must take the vehicle back from the secondary borrower before the bank takes back the vehicle and ruins your credit. You will learn from that not to cosign a loan.


When you cosign for a vehicle will it be on your credit report and therefore effect the cosigner when they attempt to make a major purchase in the future?

Yes, all action on the part of the primary borrower will be reflected on the cosigner's credit report.


If you cosign a student loan does it go against your credit?

It will be listed on the person's credit report. How it affects the report depends upon the amount co-signed for, the co-signer's personal debt-income-credit ratio, and if the primary borrower honors all the terms of the agreement, and other factors.


If there is a primary borrower and co-borrower on an auto loan do both get credit reported?

Yes.


Rights of a co-signer on car if payments arent being made?

He has the right to make the payments or have his credit ruined. DON'T cosign a loan unless you are willing to make the payments if (when) the primary borrower defaults.


How can you protect yourself if you cosign an auto loan?

There is no "protection" for a co-signer except paying the loan if the primary borrower doesn't pay. If you don't pay the loan then your credit will be ruined. If you pay off the loan you can try to sue the primary borrower in civil court but the chance of reimbursement isn't generally good if they needed a co-signer in the first place.Understand that when you co-sign for a loan you are guaranteeing that you will pay if the primary borrower doesn't.


How is a primary borrower's credit affected if he or she defaults on a loan but the cosigner pays the loan?

The defaulted debt will become a negative entry on the primary borrower's credit history and will remain for the required 7 years.


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.


Is a primary borrower's mortgage or credit affected when the co signer on a loan declares bankruptcy?

no


Does and outstanding credit card loan that hasn't been paid ruin your chance of co signing for a car loan?

If you have a bad credit report from a loan in default a lender wouldn't want your guaranty that the primary borrower's loan will be paid by you if they default.If you have a bad credit report from a loan in default a lender wouldn't want your guaranty that the primary borrower's loan will be paid by you if they default.If you have a bad credit report from a loan in default a lender wouldn't want your guaranty that the primary borrower's loan will be paid by you if they default.If you have a bad credit report from a loan in default a lender wouldn't want your guaranty that the primary borrower's loan will be paid by you if they default.


When you cosign can you send the car back and pay the depreciation value so it won't reflect badly on your credit?

No. When a vehicle is repossessed either voluntarily or by the lender, it must be sold at public auction for the fair market value or as close to that amount as possible. Any deficiency between the sale price and the loan balance will be the responsibility of the primary borrower and/or cosigner.


You are attempting to establish credit in your own name your mother is co-borrower on your student loan Will it show on your credit score?

It will only show on the primary borrowers credit report. If the primary defaults on the loan then the responsibility falls to the co-signer. In brief, if the loan is in good standing the primary borrower will have it on their credit report only. If the loan is late or is defaulted it will be reported on both the primary and co-signers report.

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