What Is A Guarantor Loan

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Posted on September 21, 2018 at 12:34 PM



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Being a Guarantor
Being a guarantor is risky, so if you’ve been asked to be one make sure you know what the implications are. The most important thing to remember is that if the borrower gets behind in their payments the lender has the right to chase you up for the money rather than the borrower (the person whose loan you guaranteed).
What is a Guarantor Loan? | Loans Canada
A guarantor is a person who cosigns a loan in an effort to help the borrower get approved for the loan. However, this type of person differs from joint borrowers or co-borrowers. Joint borrowers are those who are borrowing money in conjunction with another borrower.
Guarantor | Definition of Guarantor by Merriam-Webster
The guarantor must disclose the nature of the guarantee (terms, history, and events that would put the guarantor on the hook), the maximum potential liability under the guarantee, and any provisions that might enable the guarantor to recover any money paid out under the guarantee.

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