Step-by-Step Guide: How to Remove Yourself as a Cosigner

Being a cosigner for someone is a noble gesture. It shows that you trust and believe in that person, and you are willing to help them achieve their goals. However, cosigning comes with its own set of risks and drawbacks. For one, you are putting your credit score on the line. If the primary borrower defaults or misses payments, your score will take a hit. This is why many people want to know how to remove themselves as a cosigner and get their name off the loan. Here’s what you need to know.

1. Through Loan Refinancing

The easiest and most straightforward way to remove yourself as a cosigner is through loan refinancing. If the primary borrower wants to refinance the loan on their own, they can do so and get you off the hook. Essentially, they will be taking out a new loan to pay off the old one, and you will no longer be responsible for the payments.

However, this option may not always be viable. The primary borrower may not have the credit score or income to refinance on their own. In this case, you can suggest that they look for a new cosigner to replace you. This way, you can still get your name off the loan, and the primary borrower can avoid defaulting on the loan.

2. Through Loan Modification

If the primary borrower is struggling to make payments and wants to modify the loan, you may have to get involved. Loan modification involves changing the terms of the loan to make it more feasible for the borrower to make payments. This can include reducing the interest rate, extending the term of the loan, or even forgiving a portion of the debt.

To remove yourself as a cosigner through loan modification, you will have to work with the lender and the primary borrower. You will need to provide proof of income and financial standing to show that you are not obligated to make payments on the loan. This process can be lengthy and complicated, but it can be a good option if the primary borrower is facing financial hardship.

3. Through Loan Consolidation

Loan consolidation involves combining multiple loans into one. This can be a good option if the primary borrower has multiple loans, one of which you cosigned. By consolidating the loans, the primary borrower can pay off the loan you cosigned and get your name off it.

However, like refinancing, loan consolidation may not always be feasible. The primary borrower may not have the credit score or income to qualify for a consolidated loan. In this case, you may have to look for other options to remove yourself as a cosigner.

4. Negotiate with the Primary Borrower

If none of these options work, you can always try negotiating with the primary borrower. Explain your situation and the risks involved in cosigning. If they value the relationship and appreciate your help, they may be willing to look for alternative solutions.

For example, they may be able to transfer the debt to a credit card or a personal loan, which would remove you as a cosigner. Or, they may be able to pay off the loan in full using their savings, a tax refund, or a bonus.

5. Legal Action

If all else fails, you can take legal action to remove yourself as a cosigner. This option should be considered as a last resort since it can be expensive and time-consuming. You will need to consult with a lawyer and file a motion to be removed from the loan. This may involve proving that the primary borrower has the financial means to repay the loan on their own and that you are not responsible for any missed or late payments.

It’s important to note that legal action can damage your relationship with the primary borrower, so it should only be used as a last resort.


Cosigning for someone is a generous act, but it’s not without risks. If you want to remove yourself as a cosigner, you have several options available. The easiest and most straightforward option is refinancing, but this may not always be feasible. You can also try loan modification, loan consolidation, negotiating with the primary borrower, or legal action. Whatever option you choose, make sure to act quickly and protect your credit score.

Leave a Reply

Your email address will not be published. Required fields are marked *