Legal Question in Real Estate Law in Illinois

To Do Real Estate Deal or Not : Boosting Business Credit?

Hello. I have been approached my a real estate investor to help build a third party's business credit because my credit isn't bad..at all. I would not be on any papers as responsible for the loan and because I assisted the investor, I would receive funds in a week and a full year's rent. In sum, that could be 10K for the initial usage to boost the company's business credit and then 12k for the full year of rent. What am I not seeing/asking, etc? What do you think? No decision/action has yet been made.


Asked on 5/13/08, 8:14 pm

2 Answers from Attorneys
Walter Palmer Law Office of Walter Palmer

Re: To Do Real Estate Deal or Not : Boosting Business Credit?

Was he from Nigeria? Don't do it.

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Answered on 5/13/08, 10:50 pm
Nicholas Chrisos Nicholas G. Chrisos Attorney at Law

Re: To Do Real Estate Deal or Not : Boosting Business Credit?

It sounds fishy, but what exactly are you being asked to do? I've heard about "schemes" where another person (or in this case, entity) is added to your credit card, for example. Then your credit is used to pump up the added person/entity's credit rating because the lender doesn't look to see how long the person/entity's been on the account, only that they're attached to an account with good credit.

I've been assured that the plan I've described is legal, but I have to say I'm skeptical. As you know, if something sounds too good to be true, it probably is. I don't think I'd do it.

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Answered on 5/14/08, 3:03 pm


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