How Do I Know if I Need a Co-Signer?

Do I Need a Co-Signer
Brazos Staff

Last Updated: May 7, 2026

BIG Ideas:

  • A co-signer may not only help you qualify for a private loan but could also help you secure a better rate – potentially saving you money over the life of the loan.
  • The co-signer on your student loan is legally and financially responsible for making payments if you’re unable to do so.
  • Some lenders allow co-signer release once you’ve demonstrated the ability to repay the loan on your own.

You’re doing it – making college possible! But before you shoulder that backpack or fill up your dorm room shopping cart, you’ll need to pay that tuition bill. To do that, you may need a private student loan.

Getting a loan, especially one with a competitive rate, typically requires good credit. At this stage of your life, however, you may not yet have the credit history or score needed to qualify on your own.

That’s where a co-signer can help.

You’d be in good company. The majority of private student loans are co-signed by a parent, relative, or spouse.

Why add a co-signer?

A co-signer isn’t just for borrowers who can’t qualify on their own. Even if you qualify independently, a co-signer with stronger credit may help you secure a lower interest rate and more favorable loan terms. That could save you money over the life of the loan.

In many cases, lenders consider the strongest credit profile when evaluating a private student loan application.

Things to consider

Before your co-signer signs on the dotted line, there are several important things both of you should understand:

  • A co-signer is legally and financially responsible for the loan if you’re unable to make payments for any reason.
  • Missing payments can negatively affect both your credit history and your co-signer’s credit history – and potentially strain your relationship.
  • Student loans are a long-term commitment, often lasting 10 – 20 years. Depending on your loan terms, you and your co-signer could remain connected to the loan throughout the repayment period. If you ask someone to co-sign, make sure it’s someone you trust and expect to stay connected with long-term.

Releasing a co-signer

Some private student loans offer co-signer release after you’ve demonstrated the ability to repay the loan independently.

This typically requires:

  • Making consecutive on-time payments for a set period, often 2-3 years
  • Completing an additional credit review
  • Demonstrating sufficient income and credit history to qualify for the loan on your own

For example, Brazos offers a co-signer release program that may allow eligible borrowers to release their co-signer after 12 consecutive on-time payments.

Be sure you and your co-signer understand whether co-signer release is available and what requirements must be met to qualify.

We’re here to help you understand all your options

For more than 40 years, Brazos Higher Education has helped students and parents finance the cost of college. As a Texas non-profit, we offer competitive rates on private student loans that can help you fill the gap where federal aid and your savings leave off. Contact us today.