Need advice/co-signed on a loan

[ward]

Help! 3 years ago my husband co-signed on an auto loan for a casual female friend (before we were married). She paid regularly for the first 2 years on the loan and now she has been past due every single month this year and my husband's credit is ruined. We applied for a mortgage and were turned down. He has talked to the debtor numerous times and she doesn't want to compromise the car, but obviously can't afford it. We can't afford the car either and don't want it. We've talked to the creditor (bank) and they don't have any solutions. My husband is co-owner, but actually never saw the car. What recourse do we have to get this off his credit record?

 

[hillmasonry1]

We are facing a similar problem. My husband co-signed for his son on a truck and now the son is not paying because he is unemployed and cannot keep a job. A legal assistant friend checked with a banker and the banker said after three months the bank would repossess the truck. At that time they could offer it to my husband and refinance in his name alone. In the meantime, it will show up on our credit like a bad investment decision. Check with an attorney.

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by ward:
Help! 3 years ago my husband co-signed on an auto loan for a casual female friend (before we were married). She paid regularly for the first 2 years on the loan and now she has been past due every single month this year and my husband's credit is ruined. We applied for a mortgage and were turned down. He has talked to the debtor numerous times and she doesn't want to compromise the car, but obviously can't afford it. We can't afford the car either and don't want it. We've talked to the creditor (bank) and they don't have any solutions. My husband is co-owner, but actually never saw the car. What recourse do we have to get this off his credit record?<HR></BLOCKQUOTE>

You need to go to court and force the issue. Either she refinaces and takes hubby off the loan or the car must be sold to pay the loan off. Is your husband on title? If he is, when she is late on making the payments have the car towed away and stored. That will get her to be serious.