non residing coborrower loan obligation

Hi bountyhunter549,

If the coborrower defaults surely it is the responsibility of the prime borrower to repay the debt.Bank will not take action until and unless prime borrower is paying all the dues,but once prime borrower is also unable to repay the loan then it will initiate recovery procedures.
One small reminder that even a co-borrower is defaulting on the loan prime borrower can not just avoid its responsibilty to repay the loan.

Hi bountyhunter,

As you are the primary borrower of the loan, the lender will come after you for the loan dues. You will be responsible for the payments.

Thanks

Here's the bottom line: ALL parties who sign a promissory note are 100% obligated to pay the debt. If one defaults, the other(s) is obligated to pay. That's it - plain and simple.

If you don't understand what your obligation is when you deem it appropriate to cosign for someone, then you have no business cosigning.