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Is an authorized signer responsible for credit card debts if the card-holder dies?
Wiki User
∙ 8y ago
Authorized users are not responsible or liable for debt they have not contractually obligated themselves to pay. This is a sticky point right now. Creditors and credit bureaus are routinely reporting accounts for consumers who are authorized users. This is a violation of the letter of the law, but it may take a class action suit to remedy the practice.
If the question applies to you specifically, write both the original creditor and the credit reporting agencies disputing the account. Request they produce the original contract, with your signature, which proves your liability for this debt. If they are unable to prove your liability, you can request the account be removed from your personal credit report.
If the deceased card-holder left an estate, the estate may be liable for payment of any outstanding debts. Whether or not this is true would depend upon the status of the estate, any will, trusts, inheritance or probate issues. A specific question about inheritance would need to be addressed to an attorney familiar with inheritance liability issues.
Wiki User
∙ 8y ago
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Is an authorized signer responsible for credit card debts if the card-holder stops making payments?
No but if something happens to the card-holder, like dieing or being arrested, the authorized signer will be made responsible.
In Oregon is a wife responsible for her husband's credit card debt if she is not a co-signer or authorized user of the credit card?
No.
What makes you a co-signer on a credit card account and liable for the debt when the person who initiated the account dies?
Someone who becomes a co-signer for a financial transaction is pledging to be responsible for the debt if the primary borrower defaults. FYI, an authorized user of a cc account is not the same thing, and is not responsible for the cc debt.
How is the co signer affected if the primary borrower defaults on a home equity loan?
The bank providing the loan will go after both the primary borrower and the co-signer to get the loan paid back. If the co-signer has more assets/is more liquid than the primary borrower, the bank may just focus on the co-signer as both parties (the co-signer and primary borrower) have full responsibility for the debt regardless of who benefited from the cash.
Can you have a co-signer on a credit card?
Yes, you can have a co-signer on most credit card accounts. But, assuming you are new to the credit world, you should take this opportunity to enter into this adventure alone. Two reasons: 1) If you have a co-signer, you are making them (in the eyes of the bank) responsible for your credit, payments and charges. This can adversely effect both of your credit scores. 2) If you are indeed new to credit cards, doing this on your own and being responsible with credit will set you up for success later in life - such as your first/next car purchase, large ticket consumer goods, an apartment or even a home! You may consider making someone else a linked cardholder instead, which can avoid these challenges and still give them a credit card attached to your account.
If someone co-signs for another person does it show up on the co-signer's credit report?
Yes, the obligation will be reflected on the co-signer's credit. Lenders do not differentiate between a signer and a co-signer. Both are responsible for the repayment of the loan. If the signer stops making payments, the lender will look to the co-signer for full repayment of the obligation. Co-signer be aware!
How does a co-signers credit for get affected if the car he signed for is reposessed?
The co-signer will also have a repossession showing on their credit as well. The co-signer is just as legally responsible for the car as the person they signed for.
How will debt negotiation affect a co-signer on a credit card?
A co-signer is equally responsible for any debt, so whatever negotiation si reached will bind the co-signer as well. Initially, the bad credit is reported only to the primary on the account, but if the co-signer cannot step in and make th payments, his credit history can also be affected. NEVER be a co-signer.
Can an account that has an authorized signatory be transferred to that person even though the account was initially in the other person's name?
No. The authorized user/signer will have to apply for an account using their own credit history.
Who get credit on Joint car loan how get credit score?
On a joint car loan, no one is increasing their credit score. This is usually the case when one signer is weak to get approved and require a co-signer. Co-signer is financially responsible for the car loan if signer default on the loan. For more information you can try this web site at http://www.autocreditfinancial.ca
What if you are a co signer on a house that is in foreclosure?
The lender can go after you for any deficiencies and the foreclosure will be reported on your credit record. As a co-signer you are equally responsible for paying the mortgage.
Your mother passed away and you was an authorized user she had 15000 on her card you used your card after her death to charge 1500 credit card company said you was responsible for that amount?
If you were an authorized user on your mother's credit card, then you are also responsible for outstanding debts on that account. If your mother had a Will and it was probated her bank accounts would be frozen, creditors paid off as well as any outstanding taxes on house/property and loans. The amount she charged on the credit card should have been paid by any money left in the Will. However, if she had little or didn't leave a will then I am sorry to tell you that you are responsible for the whole bill. Marcy THE CORRECT ANSWER I sorry but that answer is incorrect. There are different types of signers on a credit card agreement. There is the Primary, who's credit rating actually got the account. If the primary could not get the card with just his or her rating, then a Co-Signer would be needed that has the good rating. The Primary and the Co-Signer are both responsible for any charges incurred on the credit card. Then , there is what is called an "Authorized User". This is a person that the Primary and/or Co-Signer allows to use the card. They are put on the credit card account to use (charge) purchases to the credit card. HOWEVER, the Authorized user IS NOT responsible for payment, EVER. Alot of collections agencies will try to tell you that you have to pay the debt, but if you are only a Authorized User, you are NOT legally held to pay any part of the debt.. I worked for 3 banks with credit cards and I know that you do not have to pay, no matter what a collection agency tells you. And if they place anything on your credit report, you can sue them and have it taken off, or you can just dispute it, and then sue when the reporting agency does not take it off. IMPORTANT!!! If someone who is an authorized user of a credit card knowingly uses the card AFTER the death of the primary and cosigner, then that Authorized User WOULD be legally responsible to pay any charges placed on the credit card by them. It is ILLEGAL to continue to use a credit card as a Auth. User when you know that the primary is deceased, and therefore will not be able to pay the debt.
