What legal recourse is there for the cosigner when the person that was cosigned for has defaulted on the loan?
The usual legal recourse for the cosigner when the person named as the primary on a loan has defaulted, is to make the payments on the loan. Then, the cosigner can take the person who defaulted to court to try and recoup some of the money they are out. If the loan was for a car, some states allow the cosigner to take possession of the car and sell it to recoup losses also.
How can you be a cosigner if the title is in the name of the person you cosigned for?
Many people cosign a loan for property they don't own. Many are uninformed of the consequences of cosigning. They don't realize they are agreeing to be completely responsible for a loan for property that belongs to someone else. If the primary borrower defaults on the loan and the cosigner must make the payments, the cosigner has no automatic right to the property.
Do you have the right to sell a car after repossession on a cosigned loan?
Yes, but only if you are the cosigner. When you cosign it is usually for these reasons: The person the loan is for is a minor The person has a poor credit rating The person doesn't have collateral When you cosign you are 100% responsible for that debt. All the banking institution is interested in is getting their money, so if the car was repossessed the cosigner has two options ... take over the payments…
If a person co-signed for another's car will the co-signer be taken if they file for bankruptcy?
Yes! The whole point of cosigning a loan, from the lender's perspective, is that they have 2 people on the hook for the loan in the event it goes sour. If the person stops making payments (bankruptcy or not), they will come after the cosigner, making the cosigner wish he/she had never, ever cosigned.
When is co signer required to take over student loan payments?
The co-signer is fully responsible for paying the loan and, therefore, they should take over the payments immediately to prevent damage to their own credit record. Cosigners should make certain they know what their obligations are before they sign. A person who has poor credit or no credit record needs a cosigner when they borrow money. A cosigner is a person who accepts the responsibility of repayment of a loan along with the primary borrower…
If you are a cosigner for a car and own a car do you loose both cars?
The biggest threat to you losing both cars is if you used your car as collateral, and the person for whom you cosigned defaults on the loan, and you can't make the payments on the other person's car yourself. But, even if you didn't use your car as collateral, then the bank/finance company could still file a judgment against you for the remaining balance that was owed on the car you cosigned for.
Can a lien be put on my property if im a senior citizen without going to court 1st for cosigned car?
Unfortunately if you cosigned a loan that means you were willing to pay the loan if the other signer defaults and if that happen they will go by any means to collect that money that you "cosigned/said" you would cover if the other person defaults. I would go after that person that you cosigned for if it has gone this far.
You cosigned a loan but the person dosent pay its now going on 6 years making it hard to get loan how do you get off as a cosigner?
As co-signer, you have the same obligation to pay as the signer. There is no good reason the lender would excuse you from your obligation to pay back the loan, especially when the other signer has defaulted. Your best bet would be to find a way to have the other signer catch up on payments, perhaps by obtaining collateral from him/her that you can sell if they continue to avoid paying. That way, at least…
What are the rights of a cosigner?
A cosigner is a person who signs with another person for a loan of some sort due to credit issues or financial reasons. A cosigner unfortunately does not have as many rights as the person who is first listed on a loan. For example, if you purchase a car and your boyfriend/girlfriend cosigns for you and you two break up, they cannot take the car away from you. However, if you are late on payments…
If you cosigned for a credit card and the person defaulted on it and you were never notified of the default can you fight this on your credit report?
You can try. It probably won't work. Basically lenders assume that if you cosign for something, you understand the risk. They don't care if the primary person forgot to notify you that he/she was having trouble. It's not fair, but it will make you think hard before you cosign for someone again. Be very careful.
If a person cosigned for your house then died and you are about to sell the house do any of the family members of the deceased have any rights to the home that you are selling?
If the deceased person only co-signed, that is, lent his credit standing to you so that you would be approved, then the family has no stake in the property. All the co-signer did was ensure that if you defaulted, he would be financially responsible. He never owned the house, so no relative can make a claim against it.
How can you get possession of car in Texas as cosigner?
If you're not on the title then you only agreed to pay the loan if the person buying it doesn't. This doesn't give you any right to the car. However, you can sue the primary borrower in civil court if they defaulted on the loan and you made the payments. The judge may order the primary to sign the title over to you.
Can a lien holder report the car stolen for being behind in payments?
Of course not. The car has not been stolen. But guess who is going to have to make the payments if the primary lender does not. You the cosigner, that's who. I would suggest you talk to the person you cosigned the loan for. If I were going to have to make the payments I would for sure try to gain possession of the vehicle. This is the very reason cosigning is a bad idea.
Do you need your cosigner to sign when you refinance?
If you need a cosigner they must sign because a co-signer is a person who accepts responsibility for repayment of a loan, credit card or other debt along with the original borrower. However, if the institution giving you the new loan doesn't require a cosigner, you don't need to have the cosigner on your original loan sign anything.
Can you be a co-signer with no job?
You can, but the more likely scenario is that you will be listed as the primary and the person who can pay will be the cosigner to secure the loan. If you are hoping to secure the loan for another party as their cosigner, it is not likely to happen. Unless you are fabulously wealthy, and can provide evidence of this to the lender, you will not be accepted as a cosigner.
Can the cosigner take possession of the car?
Not unless their name is also on the title. If you're not on the title then you only agreed to pay the loan if the person buying it doesn't. This doesn't give you any right to the car. However, you can sue the primary borrower in civil court if they defaulted on the loan and you made the payments. The judge may order the primary to sign the title over to you.