the borrower
Oh yes it does. That person put their credit on the line when they signed the contract making me a cosigner.
If you're talking about a cosigner, then yes. The cosigner's credit gets dinged also. Be careful about who you cosign for.
Both are responsible until paid in full. It will also be on both credit reports as well.
Really simple: The loan goes into default and the car gets reposessed. In many car loans, the language in the contract ensures that in the event of default, the lender doesn't need to provide any more consideration and can take the car without worrying about the money left when default occured.
With regards to insurance, the acronym PMI stands for Private Mortgage Insurance. This is an insurace where the borrower of a mortgage pays a premium, but if the borrower defaults, the lender gets the money. This helps protect the lender in cases of larger mortgage values.
You are only responsible for the loan you signed for. It will tie up the collateral for a longer period of time. Call the lender and find out how it affects you.
Some students can and some students cant it depends on the students age. if the student is under 18 years of age then they need a cosigner. But if they are over 18 then they usually dont.
Yes, the co-signer also gets a copy of 1099-c. The actual borrower also gets a copy as well. If the debt borrower who is the actual beneficiary of the forgiven amount fails to account for the 1099-c the burden falls on co-signer. One of the two parties is supposed to take this into their accounting. Hope this helps.
Yes, the cosigner is typically liable for the vehicle if the primary borrower defaults and the vehicle is repossessed. The cosigner is equally responsible for the loan and may be pursued for any outstanding debts, fees, or deficiencies resulting from the repossession. It's important for cosigners to understand their obligations before agreeing to cosign a loan.
The co-signer's credit record is wrecked as badly as the primary borrower's. The co-signer has guaranteed the loan would be paid and they are held equally responsible for paying the loan if the primary borrower fails to pay. It will be noted as a default on their credit record. "Co-signers" who agree to guarantee repayment of a loan for a poor credit risk often do so without understanding their own risk and whether they have the resources to repay that loan.
Both
No * In most cases, yes. Secured debts such as a vehicle are not dischargeable in BK. Therefore, the primary borrower is only temporarily avoiding action by the lender. If the cosigner is held responsible for the default he or she may sue the primary borrwer for damages incurred. ==ans == Yet another take: The cosigner is a co-borrower. By the primary defaulting he actually gets no more debt than he already had and agreed to be liable for. Whether he would have a claim for paying having to pay the debt he agreed to be liable for before the BK, instead of the primary, would depend on the (hopefully written) agreement between those two parties. While unlikely, it is possible that is noted in the loan document.
Oh yes it does. That person put their credit on the line when they signed the contract making me a cosigner.
If you're talking about a cosigner, then yes. The cosigner's credit gets dinged also. Be careful about who you cosign for.
you are still liable for that loan. the lender may decide to not accept the bankruptcy charge and go after you for the money.
Both are responsible until paid in full. It will also be on both credit reports as well.
If the student gets in trouble a lot by one teacher and another student dosnt then the student that gets in trouble won't like that teacher as much as the other student does