Author Topic: Get paid $500 to co-sign on a stranger's lease!  (Read 5388 times)

Inaya

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Get paid $500 to co-sign on a stranger's lease!
« on: July 20, 2016, 09:33:12 AM »
This is amazing. http://chicago.craigslist.org/chc/crg/5673611903.html


Sure, she'll be there in person to pay you when it's approved. But will she be there every month for the next year to actually pay the rent?
« Last Edit: July 20, 2016, 09:46:44 AM by Inaya »

slugline

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #1 on: July 20, 2016, 10:05:51 AM »
I am amazed too. Maybe I'd only do it if she put the full year's worth of rent into an escrow account first?

AMandM

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #2 on: July 20, 2016, 10:10:50 AM »
Wow.  There isn't even any guarantee that she'll pay you the $500--once the lease is approved, you have no hold over her at all.

I wonder how many people there are with the right qualifications to fall for this--financially organized enough that their credit would cover someone else's rent as well as their own living expenses, financially fragile enough that the $500 would tempt them, and financially reckless enough to co-sign a stranger's loan.  Seems like an unlikely combination.

When my daughter was apartment hunting, she saw ads offering forged W-2s to show prospective landlords.

Cathy

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #3 on: July 20, 2016, 10:33:00 AM »
I am amazed too. Maybe I'd only do it if she put the full year's worth of rent into an escrow account first?

Even this would probably not fully mitigate the risk, because (depending on the terms of the lease and other written instruments) the cosigner may also be liable for damage to the property, among other sources of risk.

That said, the idea of taking on risk in exchange for a cash premium is not inherently foolish. Insurance companies do that all the time. Of course, they work out the math so that it actually makes sense (including having many insurance contracts with different persons so that the risk is distributed).

With This Herring

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #4 on: July 20, 2016, 10:33:37 AM »
Oh wow...  It's in "Creative Gigs," of all places.

For when the original CL post is removed/expires (original formatting of body as posted):
Quote
Need a Co-Signer (Chicago)

I'm a female looking for a co-signer to sign a 12 month lease for an
apartment for me. You would be paid $500 (cash) upon approval.
I am having such a difficult time getting approved for an apt on my own because of
my credit. I always pay my rent on time. You would not pay any portion of the rent, it
would all be paid by me each month. All I need is a co-signer. If this is something you are interested in doing, contact me.
You will be paid the full $500 after you are approved and have signed the lease. I will be with you at the lease signing to pay you in cash.

plog

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #5 on: July 20, 2016, 11:01:50 AM »
Hookers just keep getting more creative in their postings.

Inaya

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #6 on: July 20, 2016, 11:13:11 AM »
Oh wow...  It's in "Creative Gigs," of all places.

For when the original CL post is removed/expires (original formatting of body as posted):



Good idea, thanks!

slugline

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #7 on: July 20, 2016, 12:32:22 PM »
That said, the idea of taking on risk in exchange for a cash premium is not inherently foolish. Insurance companies do that all the time. Of course, they work out the math so that it actually makes sense (including having many insurance contracts with different persons so that the risk is distributed).

I suppose that's an attraction to owning multiple apartments -- the ability to self-insure by taking that risk and just pricing it into the rent charged to everyone.

Dee18

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #8 on: July 20, 2016, 01:59:03 PM »
Wouldn't this be fraud?  So you get $500 to commit an illegal act?

BTDretire

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #9 on: July 20, 2016, 02:19:03 PM »
Wouldn't this be fraud?  So you get $500 to commit an illegal act?
Not illegal to cosign for someone, often dumb, but not illegal.

Dee18

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #10 on: July 20, 2016, 02:49:41 PM »
Of course, that makes sense. I was mistakenly thinking of someone pretending to be a co- tenant.

Making Cookies

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #11 on: July 20, 2016, 03:04:49 PM »
Hey - a scam for a scam. Fake lease with a fake co-signer. Pocket the money and walk. Quickly.

(No I wouldn't dare do something like this whatever the role. I come burdened (equipped) with a conscience. ;)

Dicey

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #12 on: July 20, 2016, 03:23:31 PM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

Josiecat

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #13 on: July 20, 2016, 05:59:55 PM »
Yeah, I'm totally doing this.  Not.

MrRealEstate

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #14 on: July 21, 2016, 03:00:48 AM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

If you're FIRE you should be able to produce a bank statement showing a substantial cushion. Also, you hopefully haven't destroyed your credit score. I don't think most people know how to forge bank statements as easily. It is kinda fun to mess with the code on your private computer as see a billion dollars in your wells fargo account though.

Uturn

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #15 on: July 21, 2016, 07:28:12 AM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

If you are FIRE, I would assume the conversation would go like this

Landlord: You don't seem to have any recent work or rental history.  You will need a co-signer.
FIRE: You're right, I am retired and like to travel.  I have one year's worth of rent up front if that helps.
Landlord:  Sure, here are the keys.

Then you proceed to negotiate lower rent because you are paying one year up front. 

Dicey

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #16 on: July 21, 2016, 11:51:14 AM »
I get that there are workarounds. It's just that they are, well, workarounds.

BlueHouse

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #17 on: July 21, 2016, 12:46:24 PM »
Is this a legit ad?  Why does she specify female?  What would that matter if legit?

onlykelsey

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #18 on: July 21, 2016, 12:49:23 PM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

If you are FIRE, I would assume the conversation would go like this

Landlord: You don't seem to have any recent work or rental history.  You will need a co-signer.
FIRE: You're right, I am retired and like to travel.  I have one year's worth of rent up front if that helps.
Landlord:  Sure, here are the keys.

Then you proceed to negotiate lower rent because you are paying one year up front.

You would think that, but apparently that is not everyone's experience on this forum.  I imagine smaller landlords making their own decisions would be more likely to allow.  Larger operations with formalized approval processes, etc, are probably less likely to think outside the box.

PencilThinStash

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #19 on: July 21, 2016, 01:14:50 PM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

If you are FIRE, I would assume the conversation would go like this

Landlord: You don't seem to have any recent work or rental history.  You will need a co-signer.
FIRE: You're right, I am retired and like to travel.  I have one year's worth of rent up front if that helps.
Landlord:  Sure, here are the keys.

Then you proceed to negotiate lower rent because you are paying one year up front.

Assuming you're working with an individual landlord with a brain, and not one working for a big property management company with stupid rules.

I was unemployed when trying to move into my current place (just moved to town). Showed proof of assets since I didn't have an income yet - One account with 1.5x total yearly rent, plus an offer to show other accounts if necessary. Even mentioned being debt free, in case it made a difference.

It didn't. The exact response was "That's great, but what happens to that money as you spend it, if you don't have an income? You won't be able to pay us anymore."

Well... if I spend my money PAYING YOU... then yes, that pile of money would shrink... because YOU'RE GETTING PAID... so... You're an idiot?

Found a job quickly enough that it wasn't a problem in the end, but I still can't believe the stupidity.

Two or three years back, I offered to pay a former landlord the whole year up front for a discount. He told me that he hadn't heard of anybody doing that since the 1980s, while awkwardly laughing and acting like I'd just grown a second head.

I clearly need to start working with individuals instead of companies.

bacchi

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Re: Get paid $500 to co-sign on a stranger's lease!
« Reply #20 on: July 21, 2016, 02:24:21 PM »
Dunno if it's all bad. Say you're a mustachian who's FIRE, so no pay stubs to present. Say you've been traveling around the world for a year or two and landed in a new city where you have few connections, but want to rent an apartment. What I don't get is who would take the risk if/when she bails on the rent? I know there are other workarounds, I'm just thinking about why anyone other than someone with a terrible employment and/or payment history would be willing to pay for it. That's all I have.

If you are FIRE, I would assume the conversation would go like this

Landlord: You don't seem to have any recent work or rental history.  You will need a co-signer.
FIRE: You're right, I am retired and like to travel.  I have one year's worth of rent up front if that helps.
Landlord:  Sure, here are the keys.

Then you proceed to negotiate lower rent because you are paying one year up front.

You would think that, but apparently that is not everyone's experience on this forum.  I imagine smaller landlords making their own decisions would be more likely to allow.  Larger operations with formalized approval processes, etc, are probably less likely to think outside the box.

Yes, I've encountered this and I had earned income. (It wasn't, however, W2 earned income.)