What does being a Guarantor mean?
Being a Guarantor on a TFS Loan allows someone close to you, who is struggling to get a loan from their high street bank or other online provider, to get a Guarantor Loan. If they’re unable to qualify for a loan or a credit card, it’s sometimes due to their credit rating. Often younger people who have no credit history, or people who have a poor credit history as a result of a past issue, may find it very difficult to get access to many forms of credit and a Guarantor Loan can be their only option.
What we do
TFS Loans are Guarantor Loan experts. Guarantor Loans are “what we do” and we were one of the first providers in the UK. We are also the only Guarantor Loan provider in the UK who loans up to £15,000. By offering guarantor loans, it means those who have no other financial lending options can obtain credit – when they need it most. Maybe, they’re saving for their wedding day or even need a new car. As a TFS guarantor loan is a personal loan, the borrower can use it for pretty much anything – as long as it’s legal.
As a guarantor for a loan, you’ll be signing to agree that should the borrower be unable to make any repayments on the loan, you will cover the cost for them. TFS will only contact the borrower’s guarantor if the Borrower is unable to meet the monthly repayment on their loan. You can be a guarantor for anyone, a friend or family member, a colleague or even a tenant. As long as you trust the borrower to make repayments on the loan and are happy to cover the cost if they miss any payments, then you could give someone a much-needed hand. Being someone’s guarantor is not something that should be taken lightly, you should consider a few things before deciding to become someone’s guarantor. We have a whole section on who can be a guarantor on one of our Guarantor Hub subpages.
Want to become a guarantor?
If you decide to be a Guarantor for someone applying for a TFS Guarantor Loan, you should ask yourself a number of questions related to why they need the loan, what they will use it for, what their ability is of paying it back and whether you are able to pay it back if they cannot? We have created an infographic to help your decision-making process. If you have any other questions don’t hesitate to call us on 0203 476 4170 or visit the Frequently Asked Questions page for Guarantors on our website.