Before you go calling the credit police on me, I'm just wondering if overstating your income on a credit application can lead to anything really detrimental to someone. I have to fill out a credit application for a new car and since I have no credit history I have a cosigner who has more credit than me but has less income.
The dealership requires my cosigner to be the "primary applicant" since he is the one who holds the credit. We were thinking of falsifying his income and increasing the amount he makes so the dealership will approve our financing request on the first go around.
Once I can get my real cosigner (with significant income and credit) to cosign for me (after 3-4 months that the original cosigner signs) I will refinance and have them (the second cosigner) cosign for a cheaper rate, and true documented income.
I'm asking if this would be harmless to do, since I'm pretty sure dealerships check your credit and not into your income & job details.
2006-12-10 07:37:49 · 7 answers · asked by Anonymous in Business & Finance ➔ Credit
Some of you need to read the question more carefully.
Even if he lost his job, it would not matter. I will always the one paying for the car, he is just there to lower my interest rate for a few months until I can get my real cosigner to sign.
2006-12-10 08:03:40 · update #1
Read the fine print on the loan application. Signing the application usually authorizes the finance company to verify income with your employer. The application is also a LEGAL DOCUMENT. Any falsification can be considered PERJURY. That said, if you want to try, that's up to you.
Your co-signer is never the 'primary applicant'. If your friend is the primary applicant, YOU are the co-signer. This basically means you were denied the loan but the will sell you friend the car.
2006-12-10 08:44:02 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
Signing a false application isn't perjury (it isn't a sworn statement). Depending on who is actually making the loan it could be bank fraud. The dealer isn't the real lender, they are just originating the loan for someone else. If this is a bank you could be guilty of a federal crime. That could be a real problem.
2006-12-10 13:25:29 · answer #2 · answered by David W 4 · 1⤊ 0⤋
I would think you will get away with it but *IF* anything went wrong and you co-signer lost his job, etc etc and could not pay - and it turned out that he falsified a document to obtain money I suspect the charge would be fraud.
Just be aware, that's all.
2006-12-10 07:44:06 · answer #3 · answered by Mark T 6 · 0⤊ 0⤋
Your income is not part of your credit file, but if the creditor checks with the employer, it could mean your application gets denied, as they do also check income and job details.
2006-12-10 07:43:42 · answer #4 · answered by RedSoxFan 4 · 1⤊ 0⤋
Try finding a brighter co-signer. Do you really want a dishonest person backing up your loan? If something happens to his income, you'll be the loser.
2006-12-10 07:44:22 · answer #5 · answered by Anonymous · 0⤊ 0⤋
"Falsifying" anything is a negative concept no matter how you look at it. Honesty is always the best policy.
Good night, and good luck. Col. Kurtz
2006-12-10 07:49:01 · answer #6 · answered by Col. Kurtz 3 · 0⤊ 0⤋
that is fraud. unless you have good credit, you can apply no income, no ratio or asset program. be sure you have money to pay payment every month.
2006-12-10 13:06:48 · answer #7 · answered by Gary 2 · 0⤊ 0⤋