Posted on: 21st Jul, 2006 03:22 pm
I had co-signed on a loan for my friend. Now he is unable to pay the bills and I requested him not to put me in trouble by not repaying. He agreed to take full responsibility for the loan. Now can we approach the lender and get it done?
Hi,
It seems you are in trouble. As your friend, he does not want to drag you to the problem but I have serious doubts that the lenders would agree.
Your friend could not qualify alone and that is why you were needed to co-sign on the loan and now that he already in default the lender won't leave you and take the risk.
Approach the lender and check if you are fortunate enough to get rid of this.
Blue
It seems you are in trouble. As your friend, he does not want to drag you to the problem but I have serious doubts that the lenders would agree.
Your friend could not qualify alone and that is why you were needed to co-sign on the loan and now that he already in default the lender won't leave you and take the risk.
Approach the lender and check if you are fortunate enough to get rid of this.
Blue
Hi,
Your friend is responsible for the repayment of the loan but by co-signing the loan you have made yourself legally liable for the loan too.
The lenders are doing business and nobody would like to see himself in a loss. Since the lender was not willing to take the risk on behalf of your friend, you had to co-sign to take the risk yourself.
Now the lender will never want to put himself at risk again by letting you go free. If you are to be freed from the liability of paying the loan, the lender will require someone else to co-sign on the loan.
James
Your friend is responsible for the repayment of the loan but by co-signing the loan you have made yourself legally liable for the loan too.
The lenders are doing business and nobody would like to see himself in a loss. Since the lender was not willing to take the risk on behalf of your friend, you had to co-sign to take the risk yourself.
Now the lender will never want to put himself at risk again by letting you go free. If you are to be freed from the liability of paying the loan, the lender will require someone else to co-sign on the loan.
James
how do I go about removing my name legally from being a co-signer.
hi,
being a co-signer, you have as much responsibility for the mortgage debt as the main borrower has. the only way to remove your name from the mortgage is a refinance. the main borrower needs to refinance the loan in his/her name in order to get your name off the mortgage. he/she can also assume the loan and you can sign a release of liability to get rid of your responsibility towards the loan.
being a co-signer, you have as much responsibility for the mortgage debt as the main borrower has. the only way to remove your name from the mortgage is a refinance. the main borrower needs to refinance the loan in his/her name in order to get your name off the mortgage. he/she can also assume the loan and you can sign a release of liability to get rid of your responsibility towards the loan.