Cosigner Release

For loans disbursed on or after 9/12/2017:

Laurel Road offers a cosigner release program. The borrower must have remitted 12 consecutive on-time payments or have made payments totaling the equivalent of 12 months of principal and interest payments, uninterrupted by delinquency, forbearance, or reduced payment periods. The borrower must pass Laurel Road underwriting review to be eligible. The borrower will have to demonstrate the ability to assume full responsibility for repayment of the loan in accordance with underwriting criteria, as determined through measures including but not limited to debt-to-income ratios and credit history review, which are subject to change. Approval is at lender discretion.

If the Cosigner dies, or if the Cosigner demonstrates, to the lender’s reasonable satisfaction, a significant permanent reduction in income due to permanent disability, the Cosigner may also be released without the requirement of meeting the stipulations above. Documentation (including updating documentation, if applicable) evidencing the Cosigner's death or (if applicable) the nature, expected duration, and amount of the unanticipated reduction in Cosigner's total income due to Cosigner's permanent disability may be required to qualify. For more information, speak with a MOHELA representative.