Financial Support Agreement

A surety is an insurer of the debt, whereas a guarantor is an insurer of the solvency of the debtor. A suretyship is an undertaking that the debt shall be paid; a guaranty, an undertaking that the debtor shall pay.A surety binds himself to perform if the principal does not, without regard to his ability to do so.

Most landlords and letting agents require tenants to have a Guarantor in order to qualify as a suitable tenant. Some tenants for one reason or another can't arrange a Guarantor.The reality is, a guarantor is a prerequisite for every sensible landlord, and rightly so.

No, if you have signed an agreement and are acting as the guarantor for a guarantor loan, you cannot stop being this until the loan term has ended.

Bid/Tender Guarantee. Issued in support of an exporter's bid to supply goods or services and, if successful, ensures compensation in the event that the contract is not signed. Performance Guarantee. Advance Payment Guarantee. Warranty Guarantee. Retention Guarantee.

By Practical Law Commercial. A deed guaranteeing the performance of a party's payment obligations under a commercial agreement and indemnifying the payee against loss arising out of a failure of the payer to pay the guaranteed amounts.

A guarantor is a third party who 'guarantees' a loan, mortgage or rental agreement. This means they agree to repay the total amount owed if the borrower or renter can't pay what they owe. By guaranteeing the agreement, you become responsible for any arrears that occur.

Guarantors are asked to sign a guarantee agreement this is a legally binding document and once you sign it you become responsible for the loan repayments if the person you are acting as guarantor for cannot pay.

There are two types of Guarantee i.e. Specific Guarantee which is for a specific transaction and Continuing Guarantee which is for a series of transactions. Specific Guarantee: A guarantee which is given for only one transaction or debt, the guarantee is known as a Specific Guarantee.

A Guarantor's obligations A guarantor may be bound to maintain repayments on a borrower's loan in circumstances where the borrower defaults on repayments. Alternatively they may be called upon to repay the loan in full.