A VIDEO GUIDE TO GUARANTOR LOANS | HOW GUARANTOR LOANS WORK | THE PROS & CONS OF THIS TYPE OF LOAN скачать в хорошем качестве

A VIDEO GUIDE TO GUARANTOR LOANS | HOW GUARANTOR LOANS WORK | THE PROS & CONS OF THIS TYPE OF LOAN

This guide goes into depth about guarantor loans and how they work. It explains the pros & cons versus other bad credit loans. And find out more at our dedicated website https://guarantor-loans.co.uk ------ ▶️ ON OUR WEBSITE & "MONEY MATTERS" BLOG Guarantor Loans: https://www.solution-loans.co.uk/guar... The definitive guide to guarantor loans: https://www.solution-loans.co.uk/blog... How guarantor loans have changed: https://www.solution-loans.co.uk/blog... Kickstart your business with a guarantor loan: https://www.solution-loans.co.uk/blog... ------ ▶️ SOCIAL Like us on Facebook:   / solutionloansuk   Follow us on Twitter:   / solutionloansuk   Follow us on LinkedIn:   / solution-loans   Follow us on Instagram:   / solutionloans   Website: https://www.solution-loans.co.uk/ Subscribe to our YouTube channel: https://bit.ly/solutionloansYT ------ ▶️ VIDEO TRANSCRIPT Guarantor loans may not be new but their recent growth has opened up an avenue of credit for people who are finding it hard to obtain it. This may be because they have not built up sufficient credit history or because they have made some mistakes in the past which have resulted in a lower credit score. Repayment terms for guarantor loans are longer than for either payday or instalment loans and so offer correspondingly lower APRs. The loan is backed by a third party - a guarantor - who promises to repay the credit should the borrower fail to keep to the terms of the loan agreement. By having a third party guarantee the loan repayment schedule, the lender does not have to consider the creditworthiness of the borrower. A guarantor loan is unsecured so that no assets are put at risk. Guarantor loans are generally available for amounts from around £1,000 to in excess of £12,000 with repayment periods from one year to more than five in some cases. They differ from standard unsecured loans in that there are three parties to the agreement - the lender, the borrower and a guarantor. By signing the credit agreement, the guarantor commits to making the loan repayments or settling the loan should the borrower be unable to keep up with the loan repayment schedule. A guarantor can be anybody as long as they don’t have a direct financial link with the borrower which excludes spouses or partners. Most lenders will look for a guarantor to be 21 or over, have a good credit history and, in some cases, be a UK homeowner. Many lenders will now lend to borrowers with guarantors who don’t own their home provided that this person has a good credit record. In both cases, even though the lender may not place huge emphasis on the borrower’s credit history, it will still expect them to demonstrate that they can keep up with the repayments. If you’re new to the credit market and don’t have a sufficient credit history or if past difficulties have left you with a less-than-good credit rating, it can be difficult to raise the money for larger purchases like a new car. If you are in this position then you may want to consider a guarantor loan. It could open up access to larger loans than other forms of credit traditionally offered to people with lower credit scores. Interest rates for guarantor loans are generally lower than for other forms of unsecured lending where there is a credit history issue to be catered for. You can borrow money at an average APR of 40% - 50%. If a borrower should fall behind on repayments then the guarantor will be legally bound to either bring the schedule up to date or repay the loan in its entirety depending on the terms and conditions of the agreement. Furthermore, the guarantor could also be liable for any extra charges on the loan. It is therefore extremely important that both the borrower and the guarantor are fully aware of the ramifications of a potential breach of the loan terms and conditions before applying for a guarantor loan. Friendships and relationships are also at risk. Although the interest rates charged are lower than for payday or instalment loans, guarantor loans are still more expensive than traditional forms of unsecured credit. Borrowers should also be aware that in many cases, the APRs charged on guarantor loans are variable. ------ ▶️ ABOUT SOLUTION-LOANS.CO.UK Solution Loans is a leading UK online credit broker. We started in 2005 with the express mission of providing people with information and online tools to help them make smarter financial decisions. We're fully authorised and regulated by the Financial Conduct Authority (FCA). Our credit broking service is FREE to use; there are NO UPFRONT FEES. In most situations the deals you will get will be AS GOOD AS GOING DIRECT, although you should also have more choice than if you went direct.