Legal Question in Credit and Debt Law in New York

Re: Co-Sign Auto Loan for offspring

That depends. By co-signing for a loan, you are increasing the debt burden on yourself and any future lender will take into consideration the debt burden you are exposed to...in other words, all other things being equal, the more debt you are carrying (even as a consigner) the less new debt a lender will want to allow, so while your credit score may not drop, your ability to get a new loan may be affected. There are no hard and fast rules but you have to look at it as money coming in and money going out...

Re: Co-Sign Auto Loan for offspring

Being a co-signor on a car note, can only bring you trouble.

If your daughter does not make timely payment the car can be repossessed and you could be stuck paying off the loan without even having a car.

If you apply for credit, they may ask you if you are a co-signor on any note, and they may feel that your debt load is potentially too high to receive a loan.

Their is an old legal saying: " A co-signor is an idiot with a pen"

However she is your daughter, and sometimes parents are idiots for their children.

If you need any more informationl, please feel free to contact the undersigned.

Jeff Lazroe