This tool has been helpful to teens and young adults looking for a way to build their credit. Additionally, co-signers are suitable for people who cannot get approved because of initial lousy credit. Co-signing means leeching on someone else’s good credit. Co-signing takes away the fear of financial rejection because borrowed debt lands heavily on the shoulders of the person accepting you as a co-signer. You have to adhere strictly to the rules and pay up your balance, as failure to do so will get your co-signer in trouble. Even though you think you can easily be left off the hook with this tool, this also comes with many advantages and disadvantages.
ADVANTAGES
A. If you co-sign with someone who already has excellent credit, this tool will help build your credit history rapidly.
B. Co-signing helps build your credit report, which would automatically make the journey of owning an unsecured credit card faster.
DISADVANTAGES
A. Having a family member or a friend agree to have you as a co-signer is a financial risk. If you decide to default on the agreement by refusing to pay up your balance, the law will clamp down on the person who decided to help you. Always make sure that you do not put your co-signer in trouble for helping you out.