Loans

The lender will get a judgment against both of you and collect from whomever has the money.

The only way to be relieved of the obligation is for the primary borrower to refinance the vehicle.

The only way to be relieved from cosigning obligations is for the primary borrower to refinance the vehicle. And no, if the person's name is not on the car title they have no ownership rights.

Lenders are a good place to start. The internet has much info on the subject. Google "co-signing" and see what you get.

Yes. And it will make a difference in your income to debt ratio.

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.

I would try to get the loan on my own and build MY credit up. Its a personal choice.

Perhaps. It would be up to the lender to decide an issue such as that. Usually secured property lenders prefer all parties to reside in the same state.

No, if your name is on the home you are 1/2 the legal owner of the property. You are then responsible for 1/2 of the loan. If your roommate can qualify for the loan on her own you would have to reliquish your rights to the property to remove you from the ownership of the property

The spouse would only be responsible if they lived in a community property state. Even then it is doubtful the contract would be valid if there were an attempt to collect the debt.

This may depend on the lenders requirements. I would want to be on the "pink slip" if I was on the loan. Just in case.........

Not really, no.

You can sue him for damages, but ... that takes time.

And maybe there is not much to collect anyway.

Yes.

But for now the lender has you and will get their money from you as they would the primary borrower.

Cosigning is a really, really bad idea. At least for the cosigner. Everyone else seems to benefit.

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.

No, the person applying for the loan definitely needs a verifiable source of adequate income.

The above is correct. On the loan application, it will ask for the "primaries" (that would be you, the one getting the loan) your income, how much you get paid per hour, etc. etc...BUT, I don't think it even asks for the income of the co-signer...I can't recall if it did or not. But yes, you definitely need a job :)

NO. You no longer have collateral to secure the loan. Unless you are willing to use real estate or another vehicle that is fully paid off and owned for security.

One way is to have the other party apply for credit in his/her name and payoff the loan for which you co-signed. By doing this your obligation as a debtor has been fulfilled.

If the other party is unable to obtain credit alone and they are willing to do so, the lender may be willing to substitute you as the co-signer for a person of equal or greater credit worthiness.

Yes since it will show up on your credit record as your debt. You are fully responsible for any loan that you co-sign.

The loan has to be "secured" by someone with good credit. Call the lender for their loan qualifications.

Not likely.

The title to the property is what defines ownership. The person cosigning a loan has no rights to the property unless their name is also on the General Warranty Deed/title.

ONLY by paying the loan off or refinancing with someone elses good credit. NEVER CO-SIGN UNLESS YOU CAN AFFORD TO GIVE THE MONEY TO THE DEBTOR.

To repossess something, you must have had possession of it at one time or it must be collateral on a loan that you are the lender on. To co-sign only means that you agree to pay the notes if the primary buyer doesnt. Collateral for a loan that is NOT in default cannot be repossessed by the lender.

CR??? NO. The loan?? Possibility. that's why the lender required you to have a co-signor. Your CR is not very good. They could require you to get another co-signor or demand payoff.

CALLL the lender and ask. You are not the first person to want to do this. They have guidelines for doing it.