Legal Question in Credit and Debt Law in New York

co-signer of a car loan

I co-signed a car loan for my sister, she took off and did not make her august payment. The bank called me to tell me my credit report is in jepordy because of it. Am I resposible for the payments now? and is there any legal action I can take to get the car from her and save my credit report? My name is not on the title.


Asked on 9/08/03, 4:52 pm

2 Answers from Attorneys
Andrew Nitzberg Andrew Nitzberg & Associates

Re: co-signer of a car loan

Unfortunately, yes. You are on the hook for the loan payments. On the plus side, your sister must pay you back for any money you pay to the creditor. On the minus, she does not seem likely to do so voluntarily.

You can 'negotiate' with the creditor. In exchange for taking you off the debt you can give them some money. It may be your best option.

A capable attorney can help you with this.

good luck.

You are welcome to a consultation for no fee at my offices at 42 West 44th Street, NY,NY. Please call for an appointment first. (646)591-5786 or (718) 729-2029

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Answered on 9/09/03, 12:42 pm
Robert R. Groezinger GroezingerLaw P.C.

Re: co-signer of a car loan

When you co-sign the loan, you owe the debt. If you default, you will jeopardize both your credit (Like who cares about hers?) but a repo of the car will have it sold at deficiency and you'll still be on the hook.

Contact a local attorney about possible legal action, you having apparantly signed the loan as a accommodation to her.

Good Luck.

RRG

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Answered on 9/08/03, 5:59 pm


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