2B. Co-Borrowers

Co-borrowers must be the spouse of the primary applicant and can help secure application approval for families that may not qualify for Skylight Lending financing on their own.

Disclaimer: Co-borrowers are equally responsible for the Energy Plan obligations. The co-applicant must be a spouse of the primary applicant. Mis-use of the co-applicant feature, intentional or otherwise, may result in restricted access of the Certified Installer.

 

Key Points:

1	Any Co-Borrower must be...	A spouse of the primary borrower (no exceptions).
2	Co-Borrower email...	Must be a distinct/separate email from the primary
3	To get approval with a Co-Borrower....	At least one borrower must pass credit (both borrowers are run, highest score taken) At least one borrower must be on title (both borrowers are checked) Co-Borrower must be a spouse of the applicant (no exceptions)
4	To achieve NTP (M0) with a Co-Borrower...	In general, same existing NTP requirements apply: Both borrowers must sign the contract Web portal account set up + customer payment provided from one of the applicants ID Verified and Title cleared via one of the borrowers

 

Underwriter team may ask for additional documentation to verify that the co-borrower is the spouse. In these cases, please reach out to Skylight Lending underwriting and provide at least one of the following documents. It may be necessary to submit multiple documents, and doing so is recommended when possible:

• Recorded marriage license or certificate
• Copies of both applicants’ driver’s licenses with the same address
• Voided check or bank statement listing both applicants at the same address
• Recent mortgage statement showing both applicants at the same address
• Recorded deed or title indicating both applicants as a couple at the same address
• Recent utility bill showing both applicants at the same address

For clarity, “recent” refers to documents issued within the last 90 days.

 

Can I use a father? Mother? Brother? Etc.?	No. Co-Borrower can be a spouse or legal partner only (no exceptions).
Still a soft check?	Yes, all credit checks are soft.
I'm a sales rep. Can I be a co-borrower?	Only if the full approval & underwriting criteria are met. (you must be a spouse or legal partner to the primary signer). Intentional misuse of the co-applicant feature will result in immediate access termination.
My customer's co-Borrower is deceased. Can I use them?	No
My customer's co-applicant is estranged/does not live there anymore?	Only if the full approval & underwriting criteria are met.
Does credit score impact who is a primary vs secondary?	In general, co-borrowers (both equally responsible for the obligation) are different from co-signers (where the primary is primarily responsible, and the secondary is liable only if the primary fails to pay). For organizational purposes, we use the terms 'primary' and 'secondary.' However, there is no significant difference or hierarchy between the two, as both share equal responsibility for the Energy Plan. As such, Skylight Lending will never prioritize one applicant over the other.
My customer signed the contract, why isn't it showing up as signed?	Contracts must be signed by both applicants. DocuSign packages automatically route from Signer #1 to Signer #2. In most cases, the customers have simply not yet executed Signature #2.
What if home is in a trust or LLC?	Standard underwriting guidelines apply. (At least one borrower) Customer must provide trust or LLC documents confirming they are a trustee/controlling member/owner.
What happens if the primary is delinquent?	In essence, co-borrowers(both equally responsible for the obligation) differ from co-signers (where the primary applicant is first responsible, and the secondary becomes liable only if the primary fails to pay). The terms 'primary' and 'secondary' are used primarily for organizational purposes. However, there is no significant distinction or hierarchy between the two, as both share equal responsibility for the Energy Plan. If there is a delinquency on the account, both applicants are equally subject to the potential consequences, just as with a single-applicant Energy Plan. This may include, but is not limited to, late fees, credit score impacts, and other related actions.
My homeowner has a lower income. Should we add a co-applicant?	Only income, not DTI, is factored in our credit criteria
Can I remove a co-applicant or change it after I have run?	Yes, via running a new application.
Can I get a higher approval amount w/ co-applicant?	No, approval amounts are not influenced by a co-borrower.
What if one applicant has a bankruptcy?	A bankruptcy within last 7 years will decline any application, whether impacting one applicant or both.