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Posted in Auto Loans
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Question By
wahl

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how does it effect your credit score if you co-sign on a car loan

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Most Helpful Response

Helpful to 5 out of 6 people

none of these responses answers the question. not one.

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Co signing

Helpful to 13 out of 21 people

Don't co sign ever. You may become fully responsible for the Lon if anything happens o the other party or if they default on it. Dealing with that mess right now and it's not good. 

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cosigning

The rsponses do not answer the question. What does it do to your credit score?

If I co sign for a car loan, what happens at that point?

What happens when all payments are made on time.?

I know that if the loan defaults it will have a negative effect.

This is Credit karma, right?

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3 People Helped

Co signing

Helpful to 3 out of 10 people

What ever you do, NEVER CO SIGN FOR A LOAN.  I just went through one and and it ruins my credit score coz the other party was not paying on time.

Reply by
twostickmack

8 Contributions
49 People Helped

Enter Your Replya friend is begging me to,but i wont.too many horror stories and it took years to build up my credit.theres a reason they need acosigner-they dont pay their bills.

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2 People Helped

Is this possible.

Helpful to 2 out of 8 people

If your behind on 7 months payment, can you make a deal to keep the car and keep up with the payments?

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STUPID Young CO SIGNER:(

Helpful to 2 out of 9 people

So I did a stupid mistake of cosigning for a friend and he GOT DRUNK & wrecked the car and didnt pay the insurance. So he pretty much let it sit wrecked till the auto place picked it up. Now I have this nasty balance on my credit score that is literally haunting me along with my student loans, which makes it hard for me to do anything. I cant get another car, credit card even though I've never had one, or even an apt... smh. PLEAASE ANY ADVICE WOULD HELP. I'm only 25 and would love to go back to nursing school but this credit score makes me so nurvous todo so.

Thanks..

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Paid off loans

Helpful to 0 out of 4 people

Once the person pays off the car, make sure they IMMEDIATELY follow-up with the mandatory next steps for wiping the loan off of your credit score/account. That includes signing a lien, getting their title from the DMV, etc. If they don't, the account stays open on your account which can prevent you from taking out a personal loan, mortgage, etc.

Reply by
HammerHouse

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Helpful to 0 out of 3 people

Is there a place where I can look up this procedure for wiping the loan off my credit report? Have a slow paying daughter on a car loan. 

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Dont ever cosign

Helpful to 1 out of 6 people

If you really want to help somebody out, just give them money for a down payment. Don't treat it as a loan, because you won't get your money back from someone with lousy credit. 

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i pay a car loan 2 years

Helpful to 0 out of 4 people

i pay a car loan 2 years a go and now does not appear on my credit  what can i do to raise my point

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Will credit score ever improve?

Helpful to 0 out of 4 people

I co-signed a loan for a car for my 19 year old daughter.  Before anyone says, "Oh you should never have done that."  Prior to signing the loan I determined if I would be able to take over the payments if she lost her job. I am also on the title so that if she doesn't make the payments I can take the car. I did not realize this was going to ding my credit score SO badly! I went from having a 678 to a 597! OUCH!

Now, the question is if she makes the payments on time with no issues (which I'll make dagon sure she does) will my credit score ever start going back up??? Since she lives at home rent free right now I'm having her make payments in advance and bi-weekly so she'll actually pay off the loan sooner than 5 years! We've also talked about her refinancing in 6 mo to a year once she has a longer employment history attached to her 730 credit score! Her interest is currently 3.49%! 

Reply by
JACairnes

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Helpful to 1 out of 2 people

Has anyone replied to this and said anything to you..? I have a 724 credit score and just co-signed on a car for someone and I am terrified of what it will do to my score.. I, personally, have a car and a credit card on my own.. They'll be paying with no issues, but I worked hard for YEARS to get where I am and I don't know if it goes back or what happens..

Reply by
Jsmith48

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2 People Helped
Helpful to 2 out of 2 people

@JACairnes-  I have a similarly high credit score and someone just asked me to co sing their car loan with them and likewise, my name will be on the car and all of that, but will it seriously lower my credit score just because I co-sign with them?????

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