Car Loan quick question

[eore227]

Ok so my son needs to get a new car and his credit is subprime. He went to a credit union and approved for a loan at 72 months at 5.2 interest if he has a cosigner. This is where I come in. I have been discharged from my Chapter 7 for almost 7 years now. Went into effect back in 03. I don't know what my credit score is as I haven't used any credit cards or have one for that matter. All my mortguage payments have been on time forever. I looked at my free credit report and the only thing I see are the bk reports and things associated with it. Is there any way you guys think that I can cosign for him and he can get the loan approved or is there is no chance in hell????? Thanks guys.

[nerves]

It is a good possibility you can - I am working on getting a loan right after discharge. A couple of banks I am dealing with said the bk is only a small part of the consideration. Other things such as what your debt to income ratio is and how long you have been employed with your current employer, and your current score can override the bk. Best wishes to you.

[LimpDisc]

Maybe it's just me, but I wouldn't cosign for anyone on a loan.

Why does your son have subprime credit?

[Brendon]

I'm with LimpDisc on this one. I know you want to help your son out but it sounds like he has a history of bad credit and non-payment. I'm not sure why you think you will be different. Maybe he needs to not buy a car that has to be financed for 6 years and buy something he can afford. (sorry if that sounds harsh). Remember, if he doesn't pay for that car, you are liable for it and just having been through bk like the rest of us, you may not be in a position to take over a car payment on a car you don't own.

It's just my opinion, but I won't cosign on any loan.

[aces67]

I personally would not cosign either.

[Meh]

Considering that I once was the son asking my Mom to cosign, I would actually agree with LimpDisc. I would never co sign for anyone, and I would never ask anyone to co sign for me again. 72 months is a long time for a loan anyway. I feel like if you can't pay it off in 36 months comfortably, then it's probably too expensive of a vehicle. Not trying to tell you or your son what to do or how to spend your money or anything, im just saying think about it long and hard before you sign papers.

That said, im pretty sure you should be able to co sign for him no problem giving how long ago your BK was and the fact that you're dealing with a CU.

[StartingOver08]

If your son is old enough to buy a car, he needs to do it without a co-signer. If he can not get financing without a co-signer, then he needs to buy a car without financing it. JMO.

FWIW, I have two daughters, each with their own car. One has car payments (the youngest) because she felt she could afford it. PS one year later she moved back home because she can not afford both rent and a car payment along with the outrageous insurance required for those that are under 25 yrs old. Could I step in now and help her with the car payment - yep. Will I? No. This is a lesson better learned when you are young - like your son. CAR PAYMENTS KEEP US BROKE! NO ONE has to have a new car that is financed forever (72 mths = forever IMO).

Have your son save enough to buy transportation without financing (a/k/a beater). Then over time he can sell it and put the proceeds together with additional savings to get a better car. In just a few years he could have a late model car with NO PAYMENTS. This will give him time and the necessary push to work on his own credit issues. As a parent it is the tools we teach our children that are important. *ok, off soapbox*