With the rising delinquencies, one thing is sure, the lenders have become skeptic about lending money to people with credit issues. Now, they are more cautious regarding their investments and need an assurance before lending money to anyone.
Does it mean that a person with low FICO score or zero credit history won’t get an auto loan? Of course not. The credit borrower only needs a helping hand in the form of a cosigner to support his loan application. So, let’s get enlightened about a cosigner and how he will affect your loan application.
Who is a Cosigner?
A cosigner is a person who signs the loan documents along with the credit borrower. He is obligated to pay for the auto loan if the credit borrower fails to repay the borrowed amount.
The lenders see a cosigner as a guarantee for regular loan payments. That’s why; having a cosigner by … Read More