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taxfilez · 10-31-2007, 03:18 PM

My boyfriend co-signed on a loan a while back for a girlfriend that he had at the time. They have since split up and she has married. She is the main account holder and promised to re-finance the loan when they split, but has not followed through. Since then she has stopped paying on the loan, but continues to own and drive the vehicle while he makes the payments to keep the loan company from coming after him. She has recently (within the last 6 months) remarried. Would he, under Ohio law, still be responsible for the payments if both the new husband and main account holder work and can truly afford to pay, but refuse to? Also, can the loan company garnish the co-signer's wages to retrieve the debt if the main account holder and her husband have income? If I were to marry the co-signer, would the debt transfer to me as well (tax returns seized and such) if not paid? Is there any way for him to get out of this contract short or him keeling over?<br />

wiezly · 10-31-2007, 03:18 PM

It'd be best to call the lending institution & ask those questions.

Vitovt · 10-31-2007, 03:18 PM

Fact is he entered this contract BEFORE she married and I'm no lawyer (which I suggest you get) but it sounds like he's libel to me!

jpgMaster · 10-31-2007, 03:18 PM

Yes. Yes, and yes.
But not the transfer to you if you marry him--the debt was incurred before your marriage so it's his alone. But we all know that doesnt mean anything if you were to go get credit, because they would run it "joint" and his crap would show up.
He's on the hook for the loan. By the very definition of the word "CO-SIGNER"....
Poor guy! At least he made a GOOD decision when you and he started dating, huh!??

He can "repo" the car you know. Just because she "owns and drives it" doesnt mean that it is...her's. She defaulted on the loan, he is now paying the loan, that means it is time for COVERT ACTION! Or a lawsuit in small claims.
Personally, I prefer the covert action. I do enjoy a good repo-ing now and then.

detox · 10-31-2007, 03:18 PM

The cosigner is always responsible if the original signer doesn't pay, but the cosigner should have the legal right to take the property that is in question. He should be able to legally take the car if there is proof that she is not paying for it and he is.

broker · 10-31-2007, 03:18 PM

I do not know if anything would be different from state to state, but I know from personal experience that you are responsible as a co-signer and will have your credit history ruined for it. My mother past away, and her lawyer told me not to pay any of her bills. Well the bills became delinquent, and when I called the banks to inform them what was going on the people at BofA took my mom's name off of the account and left my name on it alone. I had no idea that I was even on the account. My mother had used my social security number without my approval to get a credit card. So they will go after him, inevitably.

I would contact the agency through which the loan was obtained and ask them for advice on how to straighten this up.

Vitovt · 10-31-2007, 03:18 PM

Yes I am pretty sure he is still responsible under the law. It was him they did the credit report on and it is him who co-signed. First they will repo the vehicle and if they signed wage garnishment forms then yes they can take a percentage of his check. That is why you should never co-sign for anyone but maybe family and then I would have to have a very good reason to do it. That is the problem with co-signing the cosigner always gets stuck paying and the other thing is if he does not his credit rating will go down the toilet as well. Other thing is since he is making the payments then nothing negative is going in her report either.

TaxGuy · 10-31-2007, 03:18 PM

Yes, your boyfriend is responsible. He needs to see a lawyer and find out what to do about getting possession of the vehicle. He can't just go take it since her name is on the title too. But he can take her to court to get a court order to sign the vehicle over to him.

Another lesson in why you should NEVER co-sign for anybody.

200pips · 10-31-2007, 03:18 PM

He should contact the financial institution the loan is through and check his options. He is and will be responsible for the loan until it is changed out of his name, no matter who she marries or their income. The lender will go for payment from the borrower first, if they don't pay, they will go to the cosigner. They won't bother investigating the income of the borrower. They will go after whoever they think will be most likely to pay.

The lender doens't care who is paying. They can garnish wages or sue the cosigner if the account becomes delinquent.

The only good news is Ohio isn't a community-property state, meaning, if you married him, you won't be responsible for the debt. However, if you both applied for loans together, it could hurt your credit scores and force higher interest rates.

I would contact the lender, tell them the situation, then contact the ex. She needs to be responsible and get him off the loan.

broker · 10-31-2007, 03:18 PM

Your boyfriend will learn a very difficult lesson. When a person co-signs a loan for another, they effectively guarantee to make the payments if the person for whom they co-signed fails to do so. Her remarriage is irrelevant in this situation. Your BF is the guarantor of the loan, and the lender will come after him if he ceases making payments. I wish both of you the best of luck in this one, but the outlook is not good for your BF.

10-31-2007, 03:18 PM	#1
taxfilez Greenhorn Join Date: Jul 2006 Posts: 28 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? My boyfriend co-signed on a loan a while back for a girlfriend that he had at the time. They have since split up and she has married. She is the main account holder and promised to re-finance the loan when they split, but has not followed through. Since then she has stopped paying on the loan, but continues to own and drive the vehicle while he makes the payments to keep the loan company from coming after him. She has recently (within the last 6 months) remarried. Would he, under Ohio law, still be responsible for the payments if both the new husband and main account holder work and can truly afford to pay, but refuse to? Also, can the loan company garnish the co-signer's wages to retrieve the debt if the main account holder and her husband have income? If I were to marry the co-signer, would the debt transfer to me as well (tax returns seized and such) if not paid? Is there any way for him to get out of this contract short or him keeling over?<br />

10-31-2007, 03:18 PM	#2
wiezly Greenhorn Join Date: Jul 2006 Posts: 30 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? It'd be best to call the lending institution & ask those questions.

10-31-2007, 03:18 PM	#3
Vitovt Piggy Bank Join Date: Jul 2006 Posts: 56 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? Fact is he entered this contract BEFORE she married and I'm no lawyer (which I suggest you get) but it sounds like he's libel to me!

10-31-2007, 03:18 PM	#4
jpgMaster Greenhorn Join Date: Jul 2006 Posts: 33 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? Yes. Yes, and yes. But not the transfer to you if you marry him--the debt was incurred before your marriage so it's his alone. But we all know that doesnt mean anything if you were to go get credit, because they would run it "joint" and his crap would show up. He's on the hook for the loan. By the very definition of the word "CO-SIGNER".... Poor guy! At least he made a GOOD decision when you and he started dating, huh!?? He can "repo" the car you know. Just because she "owns and drives it" doesnt mean that it is...her's. She defaulted on the loan, he is now paying the loan, that means it is time for COVERT ACTION! Or a lawsuit in small claims. Personally, I prefer the covert action. I do enjoy a good repo-ing now and then.

10-31-2007, 03:18 PM	#5
detox Savings Advisor Join Date: Jul 2006 Posts: 109 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? The cosigner is always responsible if the original signer doesn't pay, but the cosigner should have the legal right to take the property that is in question. He should be able to legally take the car if there is proof that she is not paying for it and he is.

10-31-2007, 03:18 PM	#6
broker Greenhorn Join Date: Jul 2006 Posts: 39 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? I do not know if anything would be different from state to state, but I know from personal experience that you are responsible as a co-signer and will have your credit history ruined for it. My mother past away, and her lawyer told me not to pay any of her bills. Well the bills became delinquent, and when I called the banks to inform them what was going on the people at BofA took my mom's name off of the account and left my name on it alone. I had no idea that I was even on the account. My mother had used my social security number without my approval to get a credit card. So they will go after him, inevitably. I would contact the agency through which the loan was obtained and ask them for advice on how to straighten this up.

10-31-2007, 03:18 PM	#8
TaxGuy Greenhorn Join Date: Jul 2006 Posts: 20 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? Yes, your boyfriend is responsible. He needs to see a lawyer and find out what to do about getting possession of the vehicle. He can't just go take it since her name is on the title too. But he can take her to court to get a court order to sign the vehicle over to him. Another lesson in why you should NEVER co-sign for anybody.

10-31-2007, 03:18 PM	#9
200pips Piggy Bank Join Date: Jul 2006 Posts: 54 Rep Power: 6	Is a cosigner on a loan still still responsible for payments if main account holder marries? He should contact the financial institution the loan is through and check his options. He is and will be responsible for the loan until it is changed out of his name, no matter who she marries or their income. The lender will go for payment from the borrower first, if they don't pay, they will go to the cosigner. They won't bother investigating the income of the borrower. They will go after whoever they think will be most likely to pay. The lender doens't care who is paying. They can garnish wages or sue the cosigner if the account becomes delinquent. The only good news is Ohio isn't a community-property state, meaning, if you married him, you won't be responsible for the debt. However, if you both applied for loans together, it could hurt your credit scores and force higher interest rates. I would contact the lender, tell them the situation, then contact the ex. She needs to be responsible and get him off the loan.

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