Can a cosigner be released from a loan?

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Last Updated: April 30, 2022

Yes. If the borrower meets the following criteria, they can submit an application requesting to remove their cosigner from the loan:

1. Must be a U.S.Citizen or permanent resident

2. Half of the original repayment term must have elapsed. (for example, if your loan has a 10-year repayment term the loan is eligible for cosigner release after the 5th year of principal and interest payments).

3. Documented annual income is at least twice the balance of outstanding loan(s) (pay stubs, tax returns, or other evidence of income must be submitted).

4. Pass a credit review and has none of the following:
    (i) 30 day or greater delinquency in the last 12 months, on any account, and
    (ii) bankruptcy, foreclosure, or repossession in the last 24 months.

To submit an application, go to the Document Upload Center. Select the option for 'Cosigner release application' and provide all required information.

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