Legal Question in Credit and Debt Law in Florida

co-signing

I co-signed for my stepson a new vehicle in January 2000. He got a DUI 2 weeks afterwards, so I took it away from. He now has his license back and the vehicle. On the loan it has my name "or" his name. He has tried to get is re-financed, but is not able to because of bad credit. The loan is showing up on my credit, which is overextending me. If he does not make payments, this will show up on my credit also. Is there anything that I can do to get released from any obligations and not be liable? He has insurance in his name, but if something bad happens, am I liable for that too?


Asked on 7/21/00, 3:04 pm

1 Answer from Attorneys
Michael Duggar Buchalter & Duggar

Re: co-signing

Please understand the original purpose for your signature on the loan/debt. You guarantee that if the debt is not paid, you will handle the obligation. The only solution that I am aware off is what has already been tried, that of re-financing in your son's name alone. Otherwise, you are saddled with this obligation until the debt is paid in full. In reference to insurance on the vehicle, your financial obligation is not the same as his safety obligations. A co-signer on the loan should not make one liable for any negligent acts of the owner of the vehicle. You should be okay in that respect.

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Answered on 9/12/00, 12:36 pm


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