07/01/2021 · What is a guarantor loan? A guarantor loan is a type of unsecured personal loan. It’s guaranteed by someone who promises to honour the debt and take over repayments if the borrower isn’t able to pay back the loan. The main reason people take out a guarantor loan is because they have either a bad credit rating or no credit history, and have been refused a personal interest rate on guarantor loans varies by lender but expect it to be higher than average. We checked Defaqto, and out of 15 guarantor loans, the representative APR ranged from to [2] You’ve also got a limited choice, there aren’t that many options for guarantor loans on the guarantor is needed with a secured loan. Secured homeowner loan A secured homeowner loan uses your home as a guarantee. No guarantor is required but, if you don’t keep up with repayments, you could lose your house. Guarantor loan A guarantor loan is when a friend or relative promises to pay back the loan if you can’t. Peer to peer loanGuarantor loans are still very expensive compared to standard personal loans or credit cards, with typical APRs, or annual percentage rates of up to 50%. The reason they have become more ;· Compare guarantor loans. Representative example: Borrow £10, over 3 years at a rate of (fixed). Representative APR and total payable £15, in monthly repayments of £ Fetching your Representative example: Borrow £10, over 3 years at a rate of (fixed).Guarantor Loans - Compare Loans with GuarantorGuarantor personal loans | Increase your chances of Guarantor Loans | Compare Rates with GoCompareGuarantor Loans | Compare Rates with GoCompareIn a nutshell, a guarantor loan is an unsecured personal loan where the borrower is "guaranteed" by another person. This person is often a close family member or trusted friend who acts as your backup if you can't make repayments.

Tags: