“Co-Signing for anyone is not an Easy Decision”
My dad is very supportive and will absolutely co-sign. He asked that I take out insurance, in case something happens to me before him and he just wants to check in with his lawyer to make sure there is nothing else he should do.
I spend a lot of time counseling clients as to the risks associated with co-signing a mortgage for anyone and the risks can be many. Sure, parents and other family members often want to help but the risks need to be understood. In many cases it all works out but I have seen things not work out very well.
It is extremely important to understand that if the person being helped doesn’t pay, the co-signer is financially responsible for the debt. I always recommend that if a co-signer agrees to participate, that as soon as possible a refinance be done to take the co-signer off the obligation.
Image courtesy of StuartMiles/freedigitalphotos.net
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Joe Petrowsky, NMLS #6869
Right Trac Financial Group, Inc. NMLS #2709
110 Main St.
Manchester, Ct. 06042
Office: 860 647-7701 x116
Fax: 860 647-8940
Cell: 860 836-9294
Joe Petrowsky does not guarantee nor is in any way responsible for the accuracy of the information provided herein, and provides said information without warranties of any kind, either expressed or implied.
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