topic Cosigner release in General Credit Topics

Cosigner release

sunnyday — Tue, 26 Jun 2007 21:16:22 GMT

Hello everyone,

Does anybody know if it's possible to be released from being a cosigner with Sallie Mae? I cosigned for 3 Sallie Mae loans, which have been in repayment for about 1 year now. The person who I cosigned for, has missed some payments, and I had to pay them, to keep from being reported late. Any advice would be greatly appreciated.

Re: Cosigner release

Anonymous — Tue, 26 Jun 2007 21:24:34 GMT

from the sallie mae website:

Cosigner release

If a creditworthy borrower makes the first 24 consecutive on-time payments of principal and interest as initially scheduled, he or she can apply to have the cosigner release.

http://www.salliemae.com/get_student_loan/apply_student_loan/cosigning_loan/

this may or may not apply to the loan that you co-signed!!

Re: Cosigner release

sunnyday — Tue, 26 Jun 2007 21:26:11 GMT

Thanks a bunch, guess I have to wait another year.

Re: Cosigner release

Anonymous — Tue, 26 Jun 2007 21:28:39 GMT

also note that it says "creditworthy" borrower....that means that the person you co-signed for will have to meet their credit criteria.

Re: Cosigner release

sunnyday — Tue, 26 Jun 2007 21:33:39 GMT

I think the person is creditworthy. I also would like to know if it will hurt or help my credit score, being released. No missed payments on all 3 loans, thanks to me, so how will it affect my fico, if I get released? Will it help or hurt?

Re: Cosigner release

Anonymous — Tue, 26 Jun 2007 21:37:32 GMT

that i don't know. perhaps someone who has been here longer can answer that...

Re: Cosigner release

sunnyday — Tue, 26 Jun 2007 21:38:58 GMT

Thank you!

Re: Cosigner release

Anonymous — Tue, 26 Jun 2007 21:44:32 GMT

no problem! i found a thread that might help you out:

http://ficoforums.myfico.com/fico/board/message?board.id=ficoscoring&thread.id=4402

Re: Cosigner release

Anonymous — Tue, 26 Jun 2007 21:54:29 GMT

Also, pay attention to the repayment plan. If you're in an extended repayment plan of any kind, those payments, even if on time, do not count.

And yes, to release a cosignor, they will check to credit of the person who will be bearing the loans by themselves. Debt to income ratio plays an important part, because on the Sallie Mae cosignor release application they ask for your income.