auto

7 tips for taking a car loan from family

Consider a co-signer
Next
7 of 8
Back
text

If a relative co-signs a car loan with you at a bank, then the relative still assumes financial risk, but the funds would initially come from the financial institution instead of the relative's savings, Frazier says.

"I don't normally recommend that relatives co-sign a loan, but I understand parents or other close relatives may be more likely to do it because of the love factor," she says. As long as the co-signer knows that this will be a part of their debt, too, it could be a solution for obtaining an auto loan.


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
advertisement
advertisement

Blog

Tara Baukus Mello

Tesla electric car to be fastest 0-60 mph on the market

Tesla will offer a new version of its Model S that would make it the fastest accelerating production car today and the third fastest ever produced.  ... Read more


Connect with us