Not sure if this question should be here or in the law exchange, but basically my dad cosigned my car loan for the purposes of rate reduction (as I had virtually no credit history at the time). My dad didn't put any money down, doesn't pay for any principal, and hasn't paid any of the loan's interest. I pay for everything. For all functional purposes, it is totally my vehicle and he only co-signed so I'd get a lower interest rate. Fast forward a few years and my dad and stepmom are getting a divorce. I don't know the particulars of divorce settlements, but does the fact that he co-signed my auto loan mean that technically it's his asset and would be subject to any divorce agreement? If so, how can I amend this? I do not want to be involved in that process whatsoever, particularly financially.
The co-signer is responsible for paying the loan back if you can’t or don’t want to pay. Being co-signer doesn’t give them any rights to your car. What happens in the private life of the co-signer, like divorce, makes no difference, they are still co-signer.
In extreme situations, like your dad co-signed but it was actually your wealthy ex-mother in law who would have paid, well, that’s just too bad for your dad. Shouldn’t have co-signed.