More Than You Thought Is Owed   In the event of loan default, all that extra expense, transaction fees, legal fees, etc., will be added on to your bill as a cosigner.  You could increase your debt obligation to nearly $30,000 less the proceeds from the sale of the vehicle.    In this scenario, you […]

Asset Repossession   There is always the possibility that what you cosign could be repossessed, leaving you still on the hook for most of the outstanding loan.  Ask any credit union or bank how they come out financially when goods are repossessed.  Repossession is usually a financial disaster for both the borrower and the lender.  […]

The Odds Are Against You   Statistics show that the cosigner winds up paying for nearly three out of four cosigned loans that end up in default.  The lender can go directly to the cosigner, bypassing the original applicant immediately.  Furthermore, all the typical methods available to the lender for debt collection can be directed […]

  Loan Default Consequence   What happens if the person with whom you cosigned a note refuses to pay or misses a payment.  In most states in this country, should a friend, relative or acquaintance miss just one payment, the lender can immediately go to you the cosigner and immediately collect from you WITHOUT FIRST […]

A Vacuum of Information   You may not be notified should the borrower miss a payment.  Time after time the loan payment may be missed and as a cosigner, you may never know.  That is until the loan is in default and the collateral has been repossessed.    By that time, it may be too […]