Co-sign a lease?

rbirns1

My son is graduating college and will soon be leasing a new car. He may or may not have sufficient credit, I don't know. If he doesn't, I'm ok with backing him financially. If needed, is there a way I can co-sign (for lack of a better term) to guarantee payments, without actually being on the lease for liability purposes? Does it vary by manufacturer or state?

I'm not concerned about the payments, I just don't want the liability if he hits something or someone.

kyfdx

rbirns1 said:

My son is graduating college and will soon be leasing a new car. He may or may not have sufficient credit, I don't know. If he doesn't, I'm ok with backing him financially. If needed, is there a way I can co-sign (for lack of a better term) to guarantee payments, without actually being on the lease for liability purposes? Does it vary by manufacturer or state?

I'm not concerned about the payments, I just don't want the liability if he hits something or someone.

If he has his own car insurance policy (meaning: not on your policy), then you won't be liable, even if you co-signed for the lease.

He should check rates first, though. He might find that he can't afford a new car, once he sees the insurance payment.

rbirns1

kyfdx said:

rbirns1 said:

My son is graduating college and will soon be leasing a new car. He may or may not have sufficient credit, I don't know. If he doesn't, I'm ok with backing him financially. If needed, is there a way I can co-sign (for lack of a better term) to guarantee payments, without actually being on the lease for liability purposes? Does it vary by manufacturer or state?

I'm not concerned about the payments, I just don't want the liability if he hits something or someone.

If he has his own car insurance policy (meaning: not on your policy), then you won't be liable, even if you co-signed for the lease.

He should check rates first, though. He might find that he can't afford a new car, once he sees the insurance payment.

Not a problem. Engineering grad, big starting salary. My work is complete

Michaell

rbirns1 said:

My son is graduating college and will soon be leasing a new car. He may or may not have sufficient credit, I don't know. If he doesn't, I'm ok with backing him financially. If needed, is there a way I can co-sign (for lack of a better term) to guarantee payments, without actually being on the lease for liability purposes? Does it vary by manufacturer or state?

I'm not concerned about the payments, I just don't want the liability if he hits something or someone.

Most leases require greater insurance coverage than most state minimums. That should take care of most of his needs.

If you co-sign, you're liable. The only way around that is to give him a bunch of cash to use as a down payment, which may then qualify him through the bank.

The only problem with that approach is that if he totals the car, you're out the up front money.