What all is effected by your credit score?

I am trying to persuade my hubby to take back and sell a car he cosigned for his brother who is not making payments and is paying late. I realize this hurts our credit scores. I know it can effect our car insurance rates, credit card rates, could result in us not being able to get loans in the future. What else? Thank you for your help! ps I know never to cosign and I tried to warn my hubby before he did, so spare me the never cosign advice. The finance company is not repo-ing the car. My hubby and I are most likely going to repo it from his brother, try to sell the car and figure out some way to pay the difference.

Public Comments

1. forget getting a mortgage or refinancing, best thing to do is pay the monthly bill on time, and then break both of his brothers legs. seriously this could destroy you financially for years to come. are you sure it was a cosign deal, and not as a coborrower or borrower, credit report should show a 4 or 5 in the id section if a cosigner 1 or2 shows a joint account. check it out. YES BY ALL MEANS TAKE THE CAR AND CLEAR THE DEBT IF POSSIBLE
2. It could even affect your career. Certain job fields use credit to provide insight into your character. A bad credit report can indicate a lack of responsibility, lack of diligence in personal matters, creating distractions in the workplace and negatively affecting performance. HINT: Don't co-sign for anyone. Period
3. I think you answered your own question, now is to ask his brother to pay on time or get an auto loan on his own to pay this one off (so your husband's name will not be link with his brother on any credit report). But I believe it is already effecting you and your husband's credit score. Sorry to hear that..
4. By all means take the car back and either make the payments yourself of sell it and take out a small loan to pay the balance if you have too. Since the payments have been made late your husbands credit is already affected in a negative way. If you let the vehicle go back your husband credit will really take a hit. A repossession is about the worst thing that can show on a credit report unless it's included in a bankruptcy. The lender will sell the vehicle for less than it's worth and come after your husband for the balance plus all fees for towing, storage, reconditioning, interest, auction, repossession and anything else they can think of. This will amount to several thousand dollars and if you still do not pay, they can take you to court, get a judgment and at that point they can attach bank accounts, garnish wages (if your State allows it) and file liens on any other property you may own like cars, boats, land and homes. All of this activity will show on your husband credit for the next 7-years making it very hard to get any other types of loans without making massive down payments, paying huge fees and State maximum interest rates.