You know I tried to do something nice to help one of my family members out a couple years ago and this is still biting me in the butt regarding a boat loan. I had the unpleasant visit of the county sheriff dropping off some paperwork of what he still owes the bank after they resold the boat. Now because of this little fiasco, my credit has gone to pot and I am afraid I wont be able to get any homeowner loans because of it. What kills me is that he can’t even get any personal loans or just a loans in general for that amount required because his credit score was not that good to begin with hence why I was helping out. Now both of ours are tanked.
All I can say is be very careful when helping out family and friends regarding any sort of loans. Be prepared if something happens. If you can avoid it, don’t cosign anything for anybody would be my suggestion. For your own loans, do shop around because you can find better deals at other companies but you will not know this unless you check.
“Loans and family don’t mix” …agreed
…and I want to add: “Loans and friends don’t mix”
-john
Well, ya I forgot about those too. I still haven’t gotten the money back from when I paid from one of my friends to go with me to attend another friends wedding in Vegas. And you know what, I know I won’t ever see it.
I so agree with you. Sometimes, it’s better to just politely say no.
I would recommend to never cosign on a loan, period. If a friend of mine needs help financially, I would rather give them a small personal loan than cosign. At least if they don’t pay me back, I know how much money I am out up front - rather than a lifetime of trying to repair bad credit.