co signers rights

[Babeegirl1967]

Massachesets--back in 2001, I cosigned a car loan for a now..ex friend, who has been consistently making late payments to the financing company. The late payments have ranged from 30 days late up to 120 days late. These late payments have been severely impairing my credit, and I do not know what I can do to have my name removed from this loan. I have contacted the financing company and asked why they won't repo the vehicle as it is quite obvious that the primary owner cannot afford the pmts. they informed me that I did not have the authority to make the decision to surrender the vehicle, as the primary owner an I would have to be in joint agreement to surrender the vehicle. In addition to that, the finacing company does not have any type of car insurance on file for the vehicle, and when I questioned why they have not pursued verifying whether the vehicle has full coverage or not, they had no response. The fact that this vehicle could possibly be uninsured or registered for that matter is unsettling, especially if my name is listed as co owner. This ex friend of mine resides in NJ, however he has provided the financing co. with a South Carolina address. I have repeatedly contacted the financing company telling them that the primary owner resides in NJ not SC, and it would be in their best interest to pick up their vehicle, however they have opted not to, and my credit is suffering severly. Is there anything I can do? Can I file some sort of suit against the primary owner, or petition to be authorized to make the decisions concerning the vehicle? what are my rights? I really would like for my name to be removed from this loan if at all possible, as it it is negatively affecting my credibility. Any legal advice is much needed and appreciated. Thanks!

Sonya

 

[JETX]

Regretably, when you agree to co-sign for a loan, you have no inherent rights in that loan. You simply have all the liabilities, with no rights.

As for your specific issues:
"These late payments have been severely impairing my credit, and I do not know what I can do to have my name removed from this loan."
*** The ONLY way to get your name (and liability) removed is to get the other party to sell the vehicle, or to refinance it solely in his/her name.

"I have contacted the financing company and asked why they won't repo the vehicle as it is quite obvious that the primary owner cannot afford the pmts."
*** If they did repo the vehicle, that would negatively impact your credit even more than the slow pay.

"they informed me that I did not have the authority to make the decision to surrender the vehicle, as the primary owner an I would have to be in joint agreement to surrender the vehicle."
*** That MIGHT be correct. Is your name on the title?? If so, is it on as both of you (name AND name) or as each of you (name OR name)?? If 'or' then you have equal right to ownership AND possession of the vehicle and can go ahead and take it.

"The fact that this vehicle could possibly be uninsured or registered for that matter is unsettling, especially if my name is listed as co owner."
*** You may be confusing co-signer (equally liable for payment of loan) vs. co-owner (named on title). If your name IS on the title and the vehicle is involved in an uninsured accident, you will likely be named as a party to any lawsuit.

"Is there anything I can do?"
*** If you are on the title as an equal owner, you can consider repo'ing the vehicle and selling it. Otherwise, not really.

"Can I file some sort of suit against the primary owner, or petition to be authorized to make the decisions concerning the vehicle?"
*** See the title.

"what are my rights?"
*** See the title and above responses.

"I really would like for my name to be removed from this loan if at all possible, as it it is negatively affecting my credibility. Any legal advice is much needed and appreciated."
*** See above.

"Thanks!"
*** You're welcome.

 

[Babeegirl1967]

co signer rights

Thanks for your responses. I will find out whose name(s) are on the title next week. I gather from your reply that if my name is not on the title, I am for the most part stuck? If it is on the title, how would I go about taking possession of the vehicle? The primary owner defintely would not willingly relinquish the vehicle to me, and it could get pretty ugly, me going down to NJ to take the car from him. I don't have a key either. Maybe I cold get a police escort, and have the vehicle towed to a dealership where a key could be made?? I don't know, but I am desperate to get this matter resolved before something bad actual happens, and I am held liable for something.

Thanks again for your responses.

Sonya

 

[JETX]

If your name is on the title, you can take a copy of the title to any dealer and they should be able to look up the key number on their master list (be sure to call them first, not all dealers can do this). Then, once you have a key, you can decide on a self-recovery (has considerable risk) or to have a repo company get it for you.

 

[Babeegirl1967]

co signer rights

I hear what you are saying, but as far as the key goes, it has a programmable chip in it, and when a new key has to be made, the vehicle has to be at the dealership as well so that the computer chip in the key is programmed to the engine, or something to that effect. It's supposed to be some sort of anti theft mechanism. But on that note, I didn't realize that I could hire a repo company to assist with apprehending the car, I thought the repo man only worked for financing companies, banks,etc. So if I need to go that route, I can have the repo folks tow the vehicle to the nearest dealership, and have the key made......hmmm.......Good to know that. I am sure that you can tell that I am new to all of this, but once this matter is over, I will be an expert. Thanks again for the advise you have provided me with, I really appreciate it.

Sonya