hi I helped a so called friend cosigned a loan for 7500.00 two years ago, now they have been late and over due payments seven times now. Is affecting my credit every time. I just got another call today about 29 days late. I do not talk to this person any more. I cannot afford to take over payments because I have since bought a house. After 8 months into the loan they bought a house also and foreclosed on it. What are my options to get out of this cosigner. Can I take them to court and force them to sell car ?

westnlas

I think you need to see an attorney to explore your options. First consultations are usually free and you cannot continue to let this damage your credit. The loan will need to be paid off, but you might be able to repossess and sell the car for most of the balance, but you really need to see a lawyer.

George_1950

As a cosigner, you are just as liable as the maker; is there an agreement that you would be reimbursed for any payments you make? If not, you may want to get that cleared up and in writing. One suggestion: go to the lender and negotiate a payoff of the loan; why not offer the lender about 70% of the balance due? If the lender accepts, it will assign the note and security interest to you. Then you may be in a position to repo the car and sell it, but you must do so with proper formalities set forth under the law of your state.

oespanhol1

I know it may be too late to do anything as you may be stuck for your friend's debt and I feel for you as you wanted to help out........I will tell you though what my brother's professor in law school called a co-signer or a guarantor which was a ''fool with a fountain pen" !........ A ''friend'' of mine , in fact the best man at my wedding , called me to co-sign a debt consolidation loan of 14,000 $ for him many years ago.......I mentioned this to my wife and she just stared......Thank God that I did not as he eventually went bankrupt!.....