If you have been refused loans from banks and a variety of lenders, then guarantor loans are the best options that you can have. They come with multiple benefits. They require no fee or a credit score as a prerequisite to be able to avail this loan. All you need is a guarantor who can sign the documents on your behalf. An individual who is known to you, who will guarantee to the lenders that in case you are not able to repay the loans, your guarantor will pay the entire amount. Your guarantor is more at a risk than you are when you avail this loan.
You have flexible repayment options when you take this loan. Not only do you have to worry about your credit scoring, but also have a chance to improve your credit score if you are able to fully repay the entire amount of the loan. Even if you need immediate cash, and have a small requirement, then you can get this loan easily, for an amount as small as fifty pounds. You can retain all of your assets when you take this loan. Your home, car, and other valuable items will not be put at stake when you apply for this loan. But, your guarantor is likely to lose everything if they are unable to pay your amount.
A few lenders accept guarantors who are not home owners as well. You have the option of repaying in small installments instead of paying the entire lump sum amount all at once. These options of repayments are also flexible. The short term loans must be cleared within a few months time. If you are borrowing money that is more than a few hundred pounds, then the duration of repayment of the loan increases.
You must be able to calculate how much installment you can pay every month when you take up this loan. You will get the amount of the loan credited in your bank account within twenty four hours of time. To be able to apply for this loan, you must be above eighteen years of age and also have a bank account in UK. You should be able to prove that you will be able to pay these loans in time. You can show your earnings and income to testify that you are capable of repaying the loan, though you will have a guarantor to back you up in case of non repayment.
The guarantor must be above twenty one years of age with a good credit history. Your business partner or your spouse who is financially part of your life cannot be a guarantor. All the credit checks will be performed on the guarantor you provide before your loan is approved. These credit checks include bank statements, ID proof, bank statements, and all the financial details of the guarantor. You must perform a check online as different companies provide different rates. Before choosing lenders, look into the interest rates and also calculate the interest using the link: Guarantor Lender.