If you’ve been asked to get a guarantor to secure your property, you may be wondering what one is and why you’ve been asked to get one. So we thought we’d break it down for you.
What is a Guarantor?
A guarantor is someone who has a good credit history and agrees to sign a document that says they will pay your rent if you are unable to, including any rent arrears and cover any damage you may cause to the property.
Why am I being asked to get one?
The most common reason why you may be asked to get a guarantor is because you have little or no credit history. This is fairly common for first time renters, international students or foreign professionals looking to rent a home in the UK.
Which means there is no record of you being able to pay your debts on time. And landlords and agents need to have some security in place to ensure there is someone else who can pay the rent, should you not be able to do so.
Who can be a Guarantor?
Anyone can be a guarantor as long as they meet the criteria required . Most people usually use a parent or a close relative, but you can also choose someone else who is willing to undertake the responsibility of doing this too. There are also specialist firms out there that provide a guarantor service should you feel embarrassed to ask a family member or friend or if you don’t have a UK based guarantor.
If you are asking someone to be your guarantor – be sure they are financially stable. As if they are unable to pay the rent if you default, it could impact their own credit and financial situation.
What if you don’t want to ask family and friends?
If you don’t want to ask friends or family members to be guarantors there are alternative solutions. You could pay a higher security deposit, find a co-signer or even use a specialist service. It’s worth discussing these options with the landlord or property management company to see if they are open to negotiating. Whatever you decide – it’s good know there are options out there!
