Skip to main content
Return to homepage
  • Free Trial
  • Free Trial
  • Plans
    • Plans for Individuals
    • Plans for Teams
    • Plans for Clients
    • Plans for Enterprise
  • Solutions
    • Self Educators
    • Small Business
    • Industry Associations
    • Accounting Firms
    • Franchise Groups
    • Finance Brokers
    • Corporations
    • Business Schools
  • More
    • About
    • Features
    • Experts
    • Blog
    • Media
    • Press
    • Contact
  • Support
  • Login
    • Watch
    • Admin

Home Definitions

What is a Guarantor? Definition or Meaning

Posted by Bizversity

A guarantor is a third party who you nominate as your rescuer. In the event that you are not able to repay a loan or meet other financial obligations, some lenders require that you specify someone such as a family member, friend or colleague who would be legally responsible to pay off the debt on your behalf.

For example…

Home loan lenders typically ask for guarantors. As part of a home loan application, they may ask you to nominate a family member or friend who would then have to sign as a guarantor. This way, the lender is covering themselves in case you go bankrupt and can’t afford to pay off your home. The guarantor will then be legally responsible to pay off your home loan.

Bizversity
Bizversity

  • Facebook
  • YouTube
  • Twitter
  • LinkedIn
  • Instagram

Our Mission is to grow the people that move the world forward. Because business people change things. They learn, they create, they build, they disrupt. And when they do, they influence the people around them and the world becomes a better place. So if you are an entrepreneur, business leader, executive or startup, and you want to grow, welcome to Bizversity.

  • About
  • Blog
  • Features
  • Tutorials
  • Media
  • Press
  • Careers
  • Definitions
  • Questions
  • Support
  • Contact

Copyright © 2023 Bizversity
  • Privacy Policy
  • Disclaimer
  • Terms of Service
  • Website Terms of Use