More Than You Thought Is Owed

In the event of loan default, all that extra expense, transaction fees, legal fees, etc., will be added on to your bill as a cosigner.  You could increase your debt obligation to nearly $30,000 less the proceeds from the sale of the vehicle. 

In this scenario, you could easily end up owing nearly $15,000 with no vehicle to show for it.  This is how quickly a friendly cosigning gesture of your kindness can turn sour in a heartbeat.  Not only would you be liable, but you could also lose any personal assets you have.

Your thoughts on this subject?  Your comments appreciated!

Content © Rich Brott, 2007

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