To Co-Sponsor or Not to Co-Sponsor?

[gap1 21]

I had been posting about this subject in a few other threads and decided to start my own, so sorry if I'm redundant!

I'm panicking! Today I found out I have (very stupidly) defaulted on my student loans. I have set up a repayment plan, but my credit is completely shot from this as you can imagine. All of this time I was under the impression that the affidavit of support approval process was based mainly on your income and that you were 125% above the poverty line. I assumed since I make enough and have been employed full time for over three years I would be fine. Now I'm worried with this loan problem.

Since I make 43k with no dependents, I ran some figures and I only need to make around 20k to qualify. Since I'm over double that I thought I would be fine. My question is, do they take bad debt into consideration (just student loan default, I have no issues with child support or the IRS)? Also, I read that the beneficiary's assets could be taken into consideration if they were easily converted into cash (my fiance has over 20k USD in savings he can prove), is this true?

I also read that you don't find out if you need a co-sponsor until the embassy interview, is this true? I can't imagine going through this entire awful process then finding out we were temporarily denied because of my finances. If you are given a blue slip (I think that's the color?), how long does it take to correct and would my fiance have to go all the way back to the embassy with the co-sponsor paperwork? Do you have to wait a month to get another interview or is this an easy fix?

My dilemma: Should I risk us getting denied or just go straight into this with a co-sponsor to avoid it? What do you think?

Thanks so much for your help! I am so concerned I can barely eat. I just want this to be over.

[twowls 217]

I had been posting about this subject in a few other threads and decided to start my own, so sorry if I'm redundant!

I'm panicking! Today I found out I have (very stupidly) defaulted on my student loans. I have set up a repayment plan, but my credit is completely shot from this as you can imagine. All of this time I was under the impression that the affidavit of support approval process was based mainly on your income and that you were 125% above the poverty line. I assumed since I make enough and have been employed full time for over three years I would be fine. Now I'm worried with this loan problem.

Since I make 43k with no dependents, I ran some figures and I only need to make around 20k to qualify. Since I'm over double that I thought I would be fine. My question is, do they take bad debt into consideration (just student loan default, I have no issues with child support or the IRS)? Also, I read that the beneficiary's assets could be taken into consideration if they were easily converted into cash (my fiance has over 20k USD in savings he can prove), is this true?

I also read that you don't find out if you need a co-sponsor until the embassy interview, is this true? I can't imagine going through this entire awful process then finding out we were temporarily denied because of my finances. If you are given a blue slip (I think that's the color?), how long does it take to correct and would my fiance have to go all the way back to the embassy with the co-sponsor paperwork? Do you have to wait a month to get another interview or is this an easy fix?

My dilemma: Should I risk us getting denied or just go straight into this with a co-sponsor to avoid it? What do you think?

Thanks so much for your help! I am so concerned I can barely eat. I just want this to be over.

Is the loan information listed on your tax returns? Mine isn't. I didn't think there was a place to list debt load on taxes--at least I've never done. The reason the sponsorship issue is determined at the interview is that they just look at the physical documentation you bring in then--your W-2s, your tax transcripts, your letter of employment etc. If it doesn't cut it, you haul out your joint sponsorship packet (or you already gave it to them if you knew you wouldn't qualify). But there's no deep investigation into your financial burden. Just what you show them.

I don't know the official total answer to your question. But I had massive school loan debt at interview time, and it never came into play. At all. We expected London to be especially rigorous with financials instead of relationship legitimacy, but in the end, my barely-there income was sufficient and my two joint sponsor packets (I'm a worrier too) were ignored. It was easy as can be.

So again, I don't know if, officially, school loan stuff can be calculated in. But I never saw anything at the K1 stage to suggest that it is, and I never experienced any trouble with mine--and it's huge. I believe you'll be perfectly fine, as I was. And in the meantime, work on forbearance so that you are at least not actively defying payment. Just for you, I mean, and your credit. Because those collections calls are horrible, I know.

[gap1 21]

We expected London to be especially rigorous with financials instead of relationship legitimacy, but in the end, my barely-there income was sufficient and my two joint sponsor packets (I'm a worrier too) were ignored. It was easy as can be.

The loan info is not on my taxes, but it is all over my credit report. You stated you had two joint sponsor packets but they didn't need them...is it an option to give my fiance a co-sponsor packet for the interview in case he needs it or do you have to file with a co-sponsor ahead of time?

Again, he also has cash savings...can they look at this as well when deciding?

[Deputy Purple 1,294]

They don't care about your credit rating. If the Federal Gov't has Tax Liens or such against you then it would be an issue, private debt is of no concern to the US Gov't.

[Audy_Rob 26]

In general, Embassies/Consulates do not accept self-sponsorship which means considering the assets of the beneficiary although from some postings I believe London will accept self-sponsorship meaning the 20K could be counted.

You do not seem to need the cash assets as normally the income flow alone you mentioned is sufficient for the affidavit of support as long as the loan information is not converted to a lien by the Federal government as previously mentioned by another poster.

Also, yes you have the option to give your fiance(e) the I-134 for a joint-sponsor with out sending this in advance. The I-134 of the joint-sponsor can be held back by the fiance(e) until/if and when it might be needed. Again in your case it does not seem likely you will need it.

Good luck.

[gap1 21]

Thanks so much for your input everyone. You're making me feel a lot better.

My loan debt is government loans (Stafford) but there is no lien against me at this time (I have worked out a payment plan to get out of default starting this month), but I still have some issues regarding my private loans (of no concern to the K-1 hopefully).

I think I'm going to have a co-sponsor ready and have the paperwork for them with my fiance at the interview just in case.

Last question, if I decided against the co-sponsor and they denied us based on my issues...how long does it take to re-sumbit with a co-sponsor? Would we have to wait forever for a new interview, or is it just an issue of him dropping off the paperwork?

[twowls 217]

Thanks so much for your input everyone. You're making me feel a lot better.

My loan debt is government loans (Stafford) but there is no lien against me at this time (I have worked out a payment plan to get out of default starting this month), but I still have some issues regarding my private loans (of no concern to the K-1 hopefully).

I think I'm going to have a co-sponsor ready and have the paperwork for them with my fiance at the interview just in case.

Last question, if I decided against the co-sponsor and they denied us based on my issues...how long does it take to re-sumbit with a co-sponsor? Would we have to wait forever for a new interview, or is it just an issue of him dropping off the paperwork?

I don't think it's a huge deal--they'd likely send you away and tell you they'll issue the visa when you get the proper sponsorship paperwork to them. Maybe a week or two, no guarantees. What's more of a time suck is gathering all that documentation from a joint sponsor at that point instead of beforehand. It takes a couple weeks to get tax transcripts after you order them, plus the rest, and then there's the time to get the package over there, and get it in, and then wait for your visa to be issued. And, you're relying on someone else to hurry up and gather documents--someone who doesn't have the same dedication to the cause that you do. If you think you'll feel better with a joint sponsor, get one now.

But again, doesn't appear that you need one. Forget about the loan stuff--you make well over the threshold.

[gap1 21]

I don't think it's a huge deal--they'd likely send you away and tell you they'll issue the visa when you get the proper sponsorship paperwork to them. Maybe a week or two, no guarantees. What's more of a time suck is gathering all that documentation from a joint sponsor at that point instead of beforehand. It takes a couple weeks to get tax transcripts after you order them, plus the rest, and then there's the time to get the package over there, and get it in, and then wait for your visa to be issued. And, you're relying on someone else to hurry up and gather documents--someone who doesn't have the same dedication to the cause that you do. If you think you'll feel better with a joint sponsor, get one now.

But again, doesn't appear that you need one. Forget about the loan stuff--you make well over the threshold.

Thanks so much. You mentioned ordering tax transcripts, I heard Turbo Tax pdf's paired with W2 forms are fine. Do I need a special transcript?

I think I'm just going to have a co-sponsor prepared just in the event that we are denied. Even though I may be fine it's better to be safe than sorry.

[twowls 217]

Thanks so much. You mentioned ordering tax transcripts, I heard Turbo Tax pdf's paired with W2 forms are fine. Do I need a special transcript?

I think I'm just going to have a co-sponsor prepared just in the event that we are denied. Even though I may be fine it's better to be safe than sorry.

Yeah copies of your tax returns, printed from Turbo Tax or whatever are fine. Certainly no harm in getting a joint sponsor. Good luck!

[Monica&Bruno 0]

Yeah copies of your tax returns, printed from Turbo Tax or whatever are fine. Certainly no harm in getting a joint sponsor. Good luck!

I'm having a concern kind of along similar lines. I'm not in debt but I have been a full-time law student for the past two years (now in my final third year), and have had no income for two years. I have a co-sponsor who makes well over the poverty line. We sent in packet 3 to the Embassy and just received an RFE stating that everything we sent was fine, however I also need to send in my past tax returns and current pay stubs. I don't know if they didn't read the part on my Affidavit of Support form that said I was a student with no income...anyways, the tax returns are no problem. I have those, but now I'm worried that they're going to say that my full-time student, no income status is a problem. Does anyone have any experience with a situation like this?

[twowls 217]

I'm having a concern kind of along similar lines. I'm not in debt but I have been a full-time law student for the past two years (now in my final third year), and have had no income for two years. I have a co-sponsor who makes well over the poverty line. We sent in packet 3 to the Embassy and just received an RFE stating that everything we sent was fine, however I also need to send in my past tax returns and current pay stubs. I don't know if they didn't read the part on my Affidavit of Support form that said I was a student with no income...anyways, the tax returns are no problem. I have those, but now I'm worried that they're going to say that my full-time student, no income status is a problem. Does anyone have any experience with a situation like this?

If they'll have the qualified joint sponsorship packet, you should be fine. Even though you don't qualify as sole sponsor, you are still the primary sponsor and as such must submit all required documentation--including tax returns that have a bunch of zeroes on them.

[Monica&Bruno 0]

If they'll have the qualified joint sponsorship packet, you should be fine. Even though you don't qualify as sole sponsor, you are still the primary sponsor and as such must submit all required documentation--including tax returns that have a bunch of zeroes on them.

Ok thank you I feel much better to hear that!

[jrmejia 31]

You should be fine..start that paper work.