help with repo I cosign for a friend

[Anonymous]

I cosign for a friend and now he's nowhere to be found the company already repo the car and they trying to collect the money from me What can I do?

[SCF]

As a co-signer, you are liable for repayment of the loan.  When a bank repos a car, they auction it off and then hold the loan holder(s) responsible for the difference between the outstanding amount and what they got at auction.

You legally owe them this debt, and they can try to collect on it using legal means.  If you think they're up to something fishy, I'd pop over to the Rebuilding Your Credit forum and ask folks there if they're violating the laws about collection practices.

This sucks, and its a good example of why you should be VERY careful when you co-sign on loans.  I think you're stuck paying it back though until you can find your friend and collect from them.

[Watchmann]

It's your debt and you are responsible for it.  There are two rules regarding cosigning:

1. Don't ever do it.

2. See rule 1.

[Anonymous]

I see this all the time, Here is the deal, you signed a legal binding contract stating you will pay the payments every month until paid in full, you are responsiple for those payments, I will suggest makeing the payments and finding the car to take possession of it ASAP

[Anonymous]

I would do it but the problems is that if I pay the car it won't be mine anyway because the title will be in both of our names so if i ever try to sell it I'm going to have to find that friend to se if henwould sign the title i tried talking to company i told them i would take over but they say there's nothing they can do about the title so what's the point of me paying if I can't do anything with that car.

[llecs]

If the car was already repoed, paying it won't automatically give you a chance to get the car back. You have a finite number of days (couple weeks based on state laws) to pay the arrears or to pay the balance before the car is auctioned. Likely the car already has been auctioned, but you still owe the balance. Besides a repo, you'd then have a charge-off on your CR. The finance company can also sue you for the difference. If I was in the situation, I'd tell the finance company to auction it and I'd pay the balance off immediately.