A Cosigner Guarantees Easy Auto Loan Approval
Join 1000's of Authors at StreetArticles Today!

Do you dream of a big car? Is your credit score low? If so, do not let the lender ruin your chances of getting easy auto loan approval. You should try reaching out to a friend with a good credit score and ask him to cosign your auto loan. Applying with a cosigner will help you qualify for the loan easily.

Who is a Cosigner?

A cosigner is a credit worthy person who agrees to share your loan obligation. If you are a first-time car buyer or a college student, with zero credit score, getting the help of a cosigner makes a lot of sense. It is because he will lend a helping hand to you as well as help you to build a good credit score.

A cosigner increases the chances of getting easy auto loan approval. His credit score adds weight to your auto loan application. Basically, a cosigner guarantees the lender that you will make regular payments. If you are unable to do so, the cosigner has to assume the responsibility of the payments.

What are the Requirements for becoming a Cosigner?

1. Willingness to cosign the auto loan

The cosigner must be willing to make the payments, if you miss them. It is because he is equally responsible for them. Remember that the agreement should be in writing, as the lenders do not accept verbal agreement from the cosigner.

2. Proof of cosigner’s ability to pay

A cosigner must prove that he earns a sufficient income to cover the amount of the auto loan. He must have a stable employment status. If he fails to prove his financial capability, the lender may reject the auto loan application.

3. Cosigner’s employment and residence

Stability in employment and residence of the cosigner is prerequisite for easy auto loan approval. The lenders are in favor of those cosigners who have lived at one address and have worked in their present job for a long period of time.

What are the Advantages of having a Cosigner?

1. Low interest rates

A cosigner not only gives you an opportunity to have a reliable transportation option but also saves you from high rate of interest.

2. Credit Score

A cosigner will allow you to obtain easy auto loan approval and help you build your credit score. In order to build your credit score, you must make regular payments to the lender.

3. Experience matters

A cosigner should be a person with a good credit score. He can also provide you with valuable financial advice. So you will not only receive better interest rates but also a sound financial advice from your cosigner.

What Happens If You Miss The Payments?

1. If you miss the payments, do not think that the lender cannot sue the cosigner. As the cosigner is responsible for the auto loan, the lender will not shy away from suing him.

2.When someone agrees to be your cosigner, he puts his credit score at risk. And, if you fail to make the payments, it hurts his credit score as well.

When a cosigner agrees to sign the auto loan application, he accepts the equal responsibility to make regular payments. So don’t risk the cosigner’s credit score by avoiding the payments. Remember that when you make regular payments to the lender, it allows you to drive your dream car and also wins your cosigner’s trust.

If you are a young car buyer with zero credit history, finding a cosigner becomes necessary. But, do not worry if you do not know someone with a good credit score. Rapid Car Loans will help you obtain car loan without cosigner. Apply now and obtain bad credit guaranteed car loans.


Street Talk

No comments present
You May Also Like
Used Car Loans – Added Advantages Of Buying A Used Car
Once the driving license is obtained, the next order of business is to decide whether to opt for a new car or a used car. Due to the fast changing consumer preferences, majority of the people sell off their old cars for newer models. This has resulted in not only…
By:  in  Finance  >  Auto Loans   Jun 04, 2016  
0
  Likes: 0

Subprime Car Loans: 4 Crucial Things You Should Know As A Subprime Car Buyer
Picture this- You have been eyeing this car since a few months and your friends can’t stop talking about it. It is on every auto show you come across and on the cover of every car magazine. Many a times, you have been thinking of going for it, but what…
By:  in  Finance  >  Auto Loans   May 17, 2016  
0
  Likes: 0

Up for An Auto Loan? Watch Your Fico Score
If adventure and exploring are synonymous to you, venture into a brand new experience of living on the edge. How about getting a new car to follow endless roads and exploring new places? Sounds good? Then don’t wait for your savings to go up, just get an auto loan. Before…
By:  in  Finance  >  Auto Loans   Apr 28, 2016  
0
  Likes: 0

Car Financing for Retirees Or Senior Citizens
The major chunk of the driving population comprises of senior citizen and retirees. Some require a car to fuel their leisure needs, while others acquire it as a reward for the long years of hard work. Auto loans help you not only in saving your substantial fixed income, but they…
By:  in  Finance  >  Auto Loans   Apr 26, 2016  
0
  Likes: 0

Go From Expensive to Economical Car Buying In Wyoming
A car is the second most expensive purchase of your life. If you live in Wyoming, buying a car and maintaining it is going to be even more expensive. Why? According to a 2014 report by Bankrate com, it takes $2,705 every year to keep your car up and running.…
By:  in  Finance  >  Auto Loans   Apr 05, 2016  
0
  Likes: 0

New Or Used Why You Should Finance Your Car
It is very easy these days to buy a new car through various car loans available these days through which the purchase of a new or used car has become relatively easy. There are many car financing tips given buy auto dealers when buying a new car that can help…
By: Haggerty Ford in  Finance  >  Auto Loans   Mar 25, 2016  
0
  Likes: 0

Make the Right Car Buying Decision: How to Choose A Reliable Dealer In Colorado
Today, Coloradan car buyers have many options to buy a car. If you live in Denver, Lakewood or any other part of the Centennial State, you can buy your dream car from the following sources: >>Dealership Lots >>Private Sellers >>Online Websites, etc. Most Coloradans opt for dealership lots because of…
By:  in  Finance  >  Auto Loans   Feb 20, 2016  
0
  Likes: 0

Hands - Free Parallel Parking
Let's face it we all love to drive but we hate to back up. The only thing worse than backing up is having to drive slowly around blocks and blocks of city traffic trying to find that perfect spot where we know the car will fit. Well, the car companies…
By: American TriStar Insurance Services in  Finance  >  Auto Loans   Feb 19, 2016  
0
  Likes: 1

How to Identify And Remove Credit Report Errors?
We live in the age where intrusion is a common phenomenon. Big Brother is not the only one that is watching you. Financing companies, banks and auto lenders also monitor your credit report and analyze the confidential financial information that is provided in it. And, if there is an error…
By: Adam Porter in  Finance  >  Auto Loans   Jul 16, 2015  
0
  Likes: 0

What to Ask A Dealer Providing Used Cars In Austin Texas
Buying a brand new car is often not affordable for many and for them there is the used cars market. You can easily find dealers providing used cars in Austin Texas that are in a very good running condition which are available at reasonable rates. Those who have got a…
By: Dynamicmotor in  Finance  >  Auto Loans   Dec 30, 2013  
0
  Likes: 0

How to Know If Home Loan Refinance is A Good Decision for Me?
If you are a home-owner, refinancing is something that can come along as either an opportunity or a necessity. But, whichever one it is, it is a big decision that will require a lot of thought and research. Many people are aware that refinancing is an option but are confused…
By: Frank Zelasko in  Finance  >  Auto Loans   Jul 31, 2015  
0
  Likes: 1

Sbn, Your Assistant to Provide Seller Financed Business Notes In USA to Enhance You’re Business
SellBizNot is The Authority in Seller-Financed Business Notes. We specialize in delivering proficient Seller Financed Business Notes In USA If you are looking forward to deal with a team of highly qualified professionals, who extend a helping hand to the business brokers, then SellBizNote is the right place you have…
By: dontehandy1 in  Finance  >  Auto Loans   Jan 03, 2014  
0
  Likes: 0

Top 5 Tips to Get More Special Finance Auto Leads
Do you know over 46% of the total auto sales in the US is generated by the special finance auto leads? (Equifax reports) So, what do we deduce from the figure is that the number of people with a bad credit or no credit is on the rise in USA…
By: Matthew Barredo in  Finance  >  Auto Loans   Dec 27, 2013  
0
  Likes: 1

Commercial Cleaning Services In Chino Hills CA Maximizes Productivity
Nothing beats an office environment that is clean and tidy and sometimes, having a clean office to work in depends on the level of skill of the commercial janitorial services in Chino Hills CA doing the cleaning service at your office. While doing simple tips such as implementing a clean…
By: Nathaniel Hilson in  Finance  >  Auto Loans   May 20, 2014  
0
  Likes: 0

Private Party Auto Purchase: Caution is the Key
Dealerships frauds such as adding unnecessary fees to the invoice and selling flood-damaged cars have compelled car buyers to opt for private party auto purchase. It is a quick and economical way of buying a car. It is becoming popular among Americans because of the following reasons: >> No aggressive…
By:  in  Finance  >  Auto Loans   Aug 10, 2015  
0
  Likes: 0

Article Views: 701    Report this Article