While there are risks associated with cosigning a loan, it is also an opportunity to improve your credit score. Cosigning allows you to:
Diversify your credit: One of the main factors that determines your credit score is the types of credit you have. Having both revolving credit (like credit cards) and installment loans (like private student loans) looks healthy to credit bureaus.
Add new credit: While the length of your credit history is important, it’s also important to add to it. New credit can sometimes boost your credit score.