This form of loan fraud can be trickier to navigate, as it may be as simple for the fraudster as committing forgery. A bank may approve the data provided by the original loan applicant, but in order to get a better rate, or even saddle their co-signer with the entire reimbursement, they may add a co-signer. This can have huge consequences on your credit score, impacting your own ability to get a loan later.