A parent cosigned for an adult child's auto loan. The child has stopped making payments. The parent's only income is from a small pension and Social Security retirement. Can a lender go after that income if the child defaults?
A parent cosigned for an adult child's auto loan. The child has stopped making payments. The parent's only income is from a small pension and Social Security retirement. Can a lender go after that income if the child defaults?
Another lesson in why it's a bad idea to be a cosigner.
A car loan lender is not going to be able to reach pension benefits or Social Security retirement benefits, as they are exempt from garnishment. There may be other assets, however, that a credit could reach. Read this.