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sollarsc

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Does co-signing a loan impact your credit score?

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My rule of thumb

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Never co-sign a loan unless  

A, You can afford the monthly payment with out hurting your own budget,

and B, you actually want what they are buying. 

If they default on the loan YOU will be responsible.  If they don't pay and the the Car/Home is repossesed it will go on your credit report for 7 years. 

as i said, if you don't want to own it, don't co-sign for it. 

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Yes

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Co-signing is actually guaranteeing that the loan will be paid in time by the loan originator. It can effect your credit the same as if you took out the loan yourself and, if the originator (person you co-sign for) fails to pay, your credit can be hurt.  That is why it is not wise to co-sign for anyone. 

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