Hey guys, so in the process of trying to lease a Jeep GC…got the call today after the credit app was completed that Chrysler Capital bumped me down to a tier 2 because of 1 late payment 3 years ago on my lease and 2 on my financed car 6 years ago. Not the end of the world, but it did increase the monthly from $474 to $503. My credit ran at a 679, but the finance manager said CC wouldn’t budge because of those late payments. I get it.
My fiance has a top notch credit, and he brought up the prospect of her co-signing (which she is fine with) which would get me back down to where we initially discussed…I just don’t know how I feel about it. Maybe it’s a pride thing, and not a chance in hell i’d ever be late with her on it…I guess my main concern is my loan showing up on both of our credit reports. We are hoping to purchase a home in the coming 2-3 years and I’m wondering if this would be more of a negative than a positive? Or, should I sack up and just pay the extra and leave her off of it.
Would love to hear some feedback from those of you who have had a co signer. Thanks!
$29x36 = $1044 over 3 years. In 2-3 years, the lease will be almost paid off and quite negligible when buying a house. If both of you are comfortable with this financial arrangement and any short-/long-term implications, I’d look to save the extra money… GLWT
Initially it will, unless you already have a vehicle leased that you’re trading in to lease this vehicle, on either of your credits. You will essentially be taking out a loan on your credit of $474 x 36 mo (presumably) so your credit will not go up right after this reports it will drop slightly. Rest assured, after a few payments your credit will return to normal.
She already has her own leased vehicle…I assume co-signing for another lease wouldn’t do any additional damage as opposed to her just taking out a normal loan?
What I’m saying is if she’s replacing a $17k loan on her credit with a different $17k loan it wouldn’t effect it much at all. If she’s opening an additional $17k loan as of now on top of whatever is on her credit, scores will drop temporarily for a couple months.
I’m not an expert but it’s just what I’ve experienced myself. The hard credit inquiry pull along with the new line of credit, if you will, showing you owe $17k, the credit will take a minor hit for a short period of time.
As for the house ordeal - I leased a new accord 6 months prior to applying for a mortgage loan, and I have student loans on top of that. I received the lowest going rate in the mortgage market at that time with a 720 credit score as well. 6 months after buying a $220k home, I decided I wanted to upgrade my Honda to an Acura, and also qualified for tier 1. Like I said, it doesn’t take a hit for very long.
I appreciate your feedback…I’m pretty well versed in the dynamics of credit I’ve just never had to deal with co-signers and wasn’t sure if that was a whole different ballgame. Thanks!
I re-edited my response with additional information that you might find helpful regarding the mortgage situation.
I’m not versed much with co-signers as well, never needed one or had one willing to help me. But I do believe it’s the same outcome. Both names are still held responsible for said loan.
Did a GC run over your dog or something my man? I’ve been all over this forum looking up feedback on Jeep leases and your comments are not just negative they are straight up ruthless. I get it if you have a personal gripe against them, to each their own… but I’ve owned 2 GC’s previously and they have been nothing short of amazing for myself and for friends of mine who have them as well.
It’s going to count against her for any loan she tries to apply to, including a future car. May not avert the outcome, but will affect debt to income ratio.
@mllcb42 and @max_g for as long as I have been on this forum ALWAYS go to each post and usually give not helpful, biased opinions, that make you wish they never commented on your post to begin with. I thought this from the first day I joined this forum.
Trolling at it’s finest. I can actually respect it to a degree, I am a sports guy and I am fairly similar during sports discussions. But when someone is legit asking for recommendations/advice and that nonsense is brought? They must be a blast at parties
Beyond negative and rarely helpful. My $0.02.