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If you currently have a loan with us and have been affected financially by the COVID-19 pandemic, please click here for ways in which we may be able to work with you during these difficult times.
Finding someone who will act as a Guarantor on your TFS Guarantor Loan isn’t always easy.
It is a requirement for every TFS Loan that someone acts as a Guarantor, so we’ve put together some useful advice to help you find someone.
Anyone aged from 18 – 75 can be a Guarantor on a TFS Guarantor Loan as long as they:
Most of our customers ask their close family members – a parent, grandparent, aunt, uncle or cousin are the most common types of Guarantors.
You can also ask friends, colleagues at work or even your landlord. You just need to find someone who fits the criteria we have outlined above. Remember that the Guarantor Loan will be in your name but it will be given on the strength of your Guarantor’s ability to pay it back if you cannot, so you need to make sure you ask someone who is in a position to do this.
We can’t accept spouses who are financially linked to you, as your Guarantor. In other words anyone who you have a joint bank account with we cannot accept as your Guarantor.
We can accept your partner as a guarantor, however they must not be living at the same registered address as yourself.
It is worth drawing up a shortlist of people who could be your Guarantor. Be realistic. If people in your close circle don’t have great credit histories, look further afield.
When you ask someone to be your Guarantor you need to be prepared to talk about why you need the loan, how you will use it and how you will pay it back. You should have a contingency plan in place if you are unable to pay the loan back, this will help to reassure them.
Let them know that you will keep them up to date with your financial state during the period of the loan. You should also give your prospective Guarantor information about who you are taking the loan out with, as this helps to reassure the Guarantor about the loan company and its intentions.
Where possible, it is a good idea to have a face to face meeting with your Guarantor. You can talk them through the loan and answer any questions they have. If this isn’t possible it’s definitely good to talk it through over the phone.
As part of the application process the Guarantor will have to co-sign the credit agreement and will go through the normal credit checks. They may be asked to provide evidence such as bank statements and proof of ID.
At TFS we always provide the Guarantor with a copy of the credit agreement, contract and tell them the loan term. They will also receive a copy of any notices sent to you during the term of the loan.
To help you we have created a Guarantor Hub on our website which talks the Guarantor through who TFS Loans are, what a Guarantor loan is, the application process, frequently asked questions and more.
You and your Guarantor are also welcome to call us at any time (even before you’ve made an application) on 0203 476 4170
We ensure that the Guarantor is kept informed of the loan progress throughout the term of the loan. They receive annual statements, welcome and loan completion letters and can contact us at any time via our website, email or phone. In the event of you being unable to pay the loan we will always try our best to contact you first to resolve the issue.
We only come to your Guarantor as a last resort, when all other avenues have been exhausted.
If you are still struggling to find someone to be your Guarantor do ask yourself whether a Guarantor loan is for you and what your other options are.
We have produced some articles that you may find useful:
A complete guide to Guarantor loans
How can I find a Guarantor?
Who can be a Guarantor?
Questions when applying for a Guarantor Loan.
TFS Loans are specialist Guarantor Loan lenders. A Guarantor Loan is a form of loan that requires someone to act as the Borrower’s Guarantor. We offer Guarantor Loans from £1,000 to £15,000, over 1 to 5 years. 39.9% APR Representative
Loans are subject to status and affordability. Consolidating debts may increase the term and the total amount payable.
Before entering into any credit agreement please make sure you can afford the monthly repayments, we recommend that you seek independent advice if you are unsure of any of the terms of our agreement. There may be other taxes or costs, not paid through us or charged by us, that you have to pay in connection with the agreement.
Late repayments can cause you serious money problems. For help go to www.moneyadviceservice.org.uk
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