Does co-signing apt lease affect my credit score?

[Anonymous]

We have co-signed many, many student loans.... which in addition to our own credit cards I believe is depressing our credit.  Now oldest child (who has HORRIBLE credit but is now working on it) wants us to co-sign an apt. lease because he was turned down on his own.  If he's late w rent, does that affect our credit too?

[manyquestions]

If you cosign and the person defaults, they can put the negative info on your report.  With an apartment lease it is usualy something where the lease is broken and they come after you for the rent.  It's not like if the rent is paid a little late. Or if there is damage when the person moves out and the apartment wants money for repairs.  I never cosign for anything. 

[RonM21]

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@manyquestions wrote:

If you cosign and the person defaults, they can put the negative info on your report.  With an apartment lease it is usualy something where the lease is broken and they come after you for the rent.  It's not like if the rent is paid a little late. Or if there is damage when the person moves out and the apartment wants money for repairs.  I never cosign for anything. 

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+1

Anything Co-Signed on should be done with caution.

[StartingOver10]

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@Anonymous wrote:

We have co-signed many, many student loans.... which in addition to our own credit cards I believe is depressing our credit.  Now oldest child (who has HORRIBLE credit but is now working on it) wants us to co-sign an apt. lease because he was turned down on his own.  If he's late w rent, does that affect our credit too?

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Yes, if affects your credit if he pays late. Especially now that Experian is reporting rental payments.  http://www.experian.com/rentbureau/rental-history.html

Have him/her look for a place that will accept him/her without you co-signing.  There is no incentive for him/her to continue to work on his/her credit if you co-sign for an apartment rental.  My oldest daughter was galvanized into actually working on her credit when a condo rental turned her down - now she is in the mid 700's. I can tell you that she came from a much lower number but was not truly motivated to work on her credit until she received a denial of a rental. Then she got herself in gear and she and her husband now own a nice home. Sometimes someone other than Mom and Dad have to point out the obvious for our children to get it.