Applicant individually applies for auto loan but unhappy with interest rate offered (applicant has poor credit & interest rate tied to credit score), so brings in co-app with impeccable credit and based on our policy, interest rate will be based on co-apps higher score.

Apparently our audit dept has indicated a co-app must benefit from the loan (be on title, etc.) or else be a co-signer. Is this a Reg B requirement?

Customer waiting to sign - need help fast. Thanks

Look to Reg. AA 227.12 for the definition of a cosigner. If they are receiving no consideration from the credit transaction then they are cosigners.

Thanks so very much Dan! Was looking at Reg B & of course, found nothing.

Once again, Dan to the rescue. Please, don't every leave BOL.