About a month ago my mom bought a brand new $40000 Mazda. Apparently Mazda has a $500 bonus if you are a student and my mom wanted to save every penny she could. She told me that all I needed to do was go to the car dealership with her to show them my ID and stuff and show that I was actually a student. At the time I was a senior in college about to graduate in the Spring. I have a very good relationship with my mom and trust her for everything, so I happily agreed to go with her to save her some money.
When I went to the car dealership, they had me sign in a few places as they were going through the paperwork for the car. Given that I was pretty much financially illiterate at the time, plus I completely trusted in my mom, and the paperwork contained 1000s of lines of fine print that would have taken forever to read and comprehend (and everyone was staring at me), I signed without giving it a second thought. I honestly don't even remember Mazda telling me what I was signing, just that I needed to put my name here and there to move on.
Fast forward a month and I have a really good job lined up for the Fall and will finally be able to be financially independent. I was looking to apply for my first credit card. I first signed up for the Capitol One Savor One card and was denied, but it was understandable given that it requires a high credit score and I don't have any credit history.
I wait a few weeks before applying for a second card. Last week, I got an email from Credit Karma asking if I opened a new account with Mazda Financial Services. I open up Credit Karma and see that I have a $40000 car loan. That's when I learned that I co-signed the car. I asked my business friend and he said that I basically just got f*ked over.
I went to apply for the Discover IT card tonight, which is apparently one the best beginner cards. They seem to accept people with pretty low credit. And I got denied.
I'm super furious and pissed right now at my mom. Did she just screw over my credit? I'v always trusted her but now I feel like she purposely mislead me just to save her $500. If she told me I was actually cosigning the car, I definitely would have looked into this more and did my research.
According to Credit Karma, my TransUnion score is 661 and my Equifax score is 643, which isn't terrible. Did I really get denied because of this car loan? My brother got approved for the Discover Card but he is in graduate school and doesn't even have a job yet. I also have about $30000 in student loans.
What is the best course of action to take right now? Is it possible to get out of the loan? If it is possible to get out of the loan, is it worth the effort or is the damage already done?
Submitted June 10, 2021 at 12:17AM by flyingchicken16 https://ift.tt/3g98AL5
