How do Guarantor Loans Online Work?
Guarantor loans are also another type of unsecured credit. This lending option operates in the way that the second person involved (a guarantor) is there to secure a loan for the person wanting to borrow.
As long as the second person meets all the requirements they will be able to act as the guarantor. Guarantor loans provide an option for individuals that are struggling to gain financial support off their own accord. The lender is reassured with the strength of the guarantors financial circumstances, meaning if the borrower can’t repay the loan the guarantor steps in.
1. When would you need an instant guarantor loan?
If you have a poor credit history or don’t actually have a credit rating as of yet, one of our instant guarantor loans could suit your circumstances. We will be able to offer you a loan based on the strength of another person’s credit rating.
This loan type still offers similar terms to our personal loans and payday loans. You will have a choice of flexible lending amounts and time periods.
What you can expect from our short term guarantor loans:
- Amounts: up to £3,000
- Term: up to 12 months
What our larger guarantor loans offer:
- Amounts: up to £15,000
- Term: up to 5 years
Note: the amounts above can differ from lender to lender.
Our APR rates on this loan type are: From 49.7% to 49.9%.
2. Criteria for Guarantor Loans
The information below is based on the majority of the lenders we work with:
- Employed, Self-employed or retired based on proof of income.
- If the borrower lives in England or Wales, the guarantor must also reside in England or Wales.
- If the borrower lives in Scotland, the guarantor must also reside in Scotland.
- The guarantor must have a good or reasonable credit history.
- Must be aged between 18 and 75.
3. Try other loan options first
If you can, it’s always worth trying to obtain a loan personally rather than using a guarantor. Our lenders welcome all types of credit ratings for payday loans and personal loans. Check if you qualify via our application form before you look at a guarantor loan.
We are a friendly bunch and so are our lenders. If you have any queries or questions don’t hesitate to get in touch. Contact us directly through the ‘contact us’ page or contact your lender via the information provided in the loan offer.
How “quick” are quick guarantor loans?
Most of our lenders offer quick guarantor loans with same day cash deposits. However, be mindful that it can completely depend on the lender you choose to loan the money with. For example, the lender might need to act upon further checks of your loan eligibility.