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FINANCE
Cosigner
A second person who is also legally liable for the loan.
// Why it matters
A cosigner agrees to be equally liable for the auto loan if the primary borrower defaults. Cosigners are required when the primary borrower has insufficient credit, low income, or no credit history. The cosigner's credit is at risk if the primary borrower misses payments. Cosigning is legally a serious commitment — the cosigner is on the title and can be sued for the full loan balance.
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