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Evaluate the Risks of Cosigning
Grade Level
DSST
DSSTPF.049 Evaluate the Risks of Cosigning
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A cosigner says, "I trust the borrower, so I do not need to read the contract." What is the strongest response?
A
Trust prevents lenders from collecting missed payments.
B
Trust automatically creates cosigner release.
C
Trust gives the cosigner ownership of the asset.
D
Trust does not define the legal obligation; the signed contract and disclosures do.
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