I am having a friend cosign a debt consolidation loan for me.?
Question:
Thanks so much
Answer:
I wouldn't do it at all. Money has a way of splitting up friendships!
Yes you'll more likely to get it.
BUT, I am sorry to say, you should be very considerate as to whether it's fair to do this to your friend. If you can do this by having both names signed, why not just have her get the loan?
A "Credit Consolidation Loan" - A "BandAid" - I can't tell you how many times I used that line in my profession.
Are you refinancing your mortgage to pay off debt? If so why are you getting a friend involved? You said you have a good salary. Find a lender who is FHA approved. You may get a 30-yr fixed around 7% and guess what? NO FRIEND NEEDED! FHA is not credit driven. Just be sure your lender/broker knows what the heck he's doing.
Kepp your friend as your friend. Not a co-owner of your property. (Let me guess, they didn't tell you about that part?)
Her score will override your lousy credit.
Obviously there are issues in your past credit responsibility and I think she would be a fool to co-sign for you.
She stands the chance of allowing you to now work on ruining her credit rating with 1 late payment!
Cosigning may be a great deal for you, but if you lose your job and can't pay your debts, then your friend has to pay them. I never asked anyone to cosign for me and I'm glad I didn't, because now I'm about $7000 in debt and I hate to think of the creditors hassling someone else about my problems. That's a good way to LOSE a friend.
Practically any type of loan can be wrapped into the debt consolidation process. Common types include finance charges, late fees and overdraft charges, credit cards, personal loans, utility bills, medical bills, car loans, store cards, gas cards and back taxes. A debt consolidation loan<!--allows you to condense your monthly payments into a single, simple bill, while lowering your interest rates and helping you pay down your debts more quickly and easily. It is also an essential tool in avoiding the much more serious step of declaring bankruptcy.
http://badcredits.awardspace.com/loan-co...
Unlike bankruptcy, in which debts are cancelled and your credit rating collapses completely, debt consolidation loans are essentially a type of refinancing, where several-->old loans are replaced with a new one that has more favorable terms. Your loan consultant will negotiate with creditors on your behalf, so you’ll no longer have to deal with harassing phone calls and daily mail.
they will go with the good credit as long as it is enough to paid the loans and all ways the co=signed just gives them one more person to go after when you stop paying!!
test the system -- go out and get the loan on you own and see if you do not have to come back with your tail between your legs!!
Debt consolidation is an option, and you should look into it. Just be careful about WHAT you're getting into. Some plans, because of their higher APR rates get you into more trouble than you were.
Also, some lenders look poorly upon it later on. Some institutions believe that it really is a black mark. It will depend upon the types of deals that your particular company or lender work out, and of course, your own individual circumstance. For some with absolutely NO way out, debt consolidation is a welcome option.
Take a good hard look at all the options and plans offered, and don't let a single company pressure you into something you just can't do. Make sure that you're comfortable with the plan offered before you commit to it.
In any case, it doesn't hurt to investigate debt consolidation as an option. It doesn't cost you anything to find out more information about it.
If you want a place to start your investigating, there's information and listings for debt consolidation providers on the page listed below. You'll probably find something of use there:
http://axalda.info/debt-consolidation.ht...
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