We all know that borrowing is a good bankruptcy alternative, but what if you don’t qualify for a loan? If you have less than perfect credit, and on your own you don’t qualify for a debt consolidation loan, consider “borrowing” someone else’s credit history.
No, we are NOT recommending identity theft, since that will land you in jail. However, a co-signer with good credit may be just what you need to qualify for a loan.
Ask your family members, such as your parents, or any other friend or relative with good credit to co-sign a loan for you. You can even ask them to give you a supplementary card on their account. By having a joint account with them, your credit report will reflect the credit history of that card with that borrower, and can help you to establish a good credit history.
But beware: if you have a joint debt with someone, and you don’t make your share of the payments, that person becomes fully liable for the entire debt. This is a very serious problem, so only ask someone to help you if you are sure that you can make all required payments.
Filed under debt consolidation, bankruptcy alternative
Posted by Editor Bankruptcy Alternatives @ 3:41 pm