Thank you for the help..... I will let you know if i decide to work something out and hopefully get my z..

 

nope, when you cosign you agree to take responsibly of the loan, if the main person can't pay it, you HAVE TO pay it, or your credit goes to chit.

If you could get out of it, what would be the point of a cosigner?

If I was you, I'd do anything you could to buy that car from him/her. Even if it meant selling your own car to buy it.

Either you buy it, pay for it and sell it, helping to build your credit, or you let it go and let your credit get F-ed.

your choice.

btw, never co sign for someone unless its your wife or husband. Even then you should think twice about it.

 

So you had someone help you get the car with their credit?

 

silverstripes= yes.. and now they have to file for bankruptcy and i dont want my name to go down the drain..
i have also been trying to sell the car, so in my behalf i could care less on what they do as long as my name doesnt go down the drain. i would trade it in but i cnt find a dealer tht will give me anywhere near what i would like for the car (trade-in) thats why i still have the vehicle. i guess there is no better answer then tlking to the bank monday..

 

Not sure if I understand the facts:

a. You own the car. You took a loan to buy the car.

b. Party b co-signed for the loan. This person has financial problems.

If this correct?

 

yes correct
BUT
since at the time their credit was stronger then mine.. they made them the primary name on the loan and me as the back up.. just to also help me establish credit.

 

Then I would not be concerned. I don't see how the financial irresponsibility of the co -signer could adversely effect your credit.

 

if my name is also on the loan.. its helps improve my credit if the car is paid for on time... which it has been.. but they need to file for bankruptcy and if they do, i am pretty sure it will hurt my credit. i need to find out if i go to the bank with the person tht signed for me, see if the bank can take my name(co-buyer) off the loan and just leave the responsibility under the person that signed(buyer).

 

Your name WILL be listed on a loan that went under.
that is VERY bad.

buy it or sell it, even if you can't get what you owe for it, who cares, make it happen, again even if you have to sell your current car and try to pick up the other one.

 

is there a way tht they can opt out to leave the car out of the bankruptcy?? and i continue to make the payments on it. or once some1 files it then everything they have goes???

 

Well that's a different story. If the primary borrower defaults on the loan then the lender will hold you responsible.

 

gotcha... thanks for the help.. ima try to see what i can do on the car as far as trade it in.. that way i can avoid all the trouble..

 

Bankruptcy court determines what assets will be liquidated, what creditors will be paid, and how creditors will be paid.

I think you are getting way ahead of yourself here.

 

I see a potential problem. Is your name on the title?

 

yes, my name is on the title.

 

If you can payoff the loan

or

find and buyer who will payoff the loan then you should be good.

 

i wish i was able to pay off the loan. and nobody wants to pay close to what i owe... i would have to roll some negative equity on a trade..

 

Determine the payoff loan balance, determine low book value, see if there are any lenders that would refi the car (usually 80% of book value), in your name alone, with you paying the difference.

Example:
Loan balance $20K
Book value: $16K
$16K x 80% = $12,800
You would have to come up with bit over $7 grand cash if you can find a bank that will refi the joint loan.

Caveat: Year of vehicle and mileage. The bank I work for will not refi anything older than 5 years and/or over 75,000 miles.

 

04 bmw 325ci
72k miles

my other option is.. I went to nissan
trade in on my car is 15
i owe 20
base z for 28.905
16% (new credit) first car solely under my name w.o co signer
$3000 down
payment around 680.

what do you think?

 

According to my calculations, by rolling $5 grand of neg equity into the loan, you'll be paying almost $34K for a Base Z (excluding tax and license). A loan @ 16% with payments of $680 per month, assuming a 72 month term (you don't mention term) means at the end of the loan term you will have paid $48,960 in payments. Add your $3K to that means that the Base Z will have cost you just shy of $52,000.

Think about that.