 TITLE: How Cosigners Are Affected When a Car Is Repossessed CONTENT: How to Build Your Credit After Repossession\n-------------------------------------------\nWhile the impact of the repossession will fade with time, it'll take seven years (from the date of the first missed payment) to completely fall off your credit reports.\nIf you were the cosigner, you probably had strong credit to begin with—so you know what it'll take to build it back up. Besides paying off the car's deficiency balance to show lenders you've made good on the debt, you can also focus on:\n*   **Making on-time payments**: Recent payment history is the most important factor in the most common credit scores. So be sure to avoid any late payments—on your loans and on loans you've cosigned—moving forward. If you have any other past-due accounts, get current as soon as you can.\n*   **Paying down debt**: The amount of revolving debt you have compared with your limits (credit utilization) is the second most important factor in your scores. Work to pay down your other debts and resist any temptation to build them back up.\n*   **Keep old cards open**: If you have a credit card you're not using, cut it up or put it in a drawer. Closing the account could eventually reduce your average age of accounts and available credit, which could negatively impact your scores.\n*   **Regularly monitoring your credit**: Review your free FICO® Score and credit report, or sign up for free credit monitoring to see where you can make improvements.\n*   **Signing up for Experian Boost™†** : This service adds certain bills to your credit report, which can potentially help you improve your credit with every on-time payment. Things like utility bills, cellphone payments and your Netflix® subscription don't otherwise appear on your report and won't help you build credit.\nExperiencing an auto repossession as a cosigner is an awful stroke of luck. But with some effort and some time, you'll be able to bring your scores back up to where they once were.\n_**Note**: In light of the coronavirus pandemic, some lenders and states have softened their rules regarding repossessions. If you're in danger of defaulting on your auto loan, look into your state's laws and contact your lender ASAP._ END