Craig the cyclist
Über Member
Watching a couple of episodes of 'Can't Pay, We'll Take It Away' should lead you to the answer of your question!
Would you be a guarantor for a member of your family?
- Thread starter gavroche
- Start date
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JtB
Prepare a way for the Lord
- Location
- North Hampshire
I did too for my son, but the contract I signed was limited just to any unpaid rent for him only. I refused to sign the original contract which would have required me to take on “Joint and several liability” for him and his housemates for any out of pocket expense incurred by the landlord (unpaid rent or damage etc.). Effectively I could have ended up becoming the housemates’ guarantors too.
Agents tried this on me too with my daughters rent. When queried, agent insisted on the phone that I would only be liable for her debt but wouldn't put that in writing. Took a lot of effort to get the contract changed. Thing is, this agent has been dealing with student letts for many years so surely they should be able to get it right.
Coming at this from a slightly different side, I was financially independent and lived away from home from 16 up until I decided to go to university in my mid-twenties, before which I had had some debt, albeit affordable with my then reasonably good income. My Dad gave me some money toward Uni, the same as he had my brother and sister, but I was still responsible for ensuring that the debts that were in my name were paid, despite having a significant income reduction (I did work full time throughout, but even then it was lower paid work).
Unfortunately there were a few instances where I was unable to pay on time, and despite negotiating with the lenders, it still had an impact on my credit rating. Sufficient that I required a guarantor when I wanted to move apartments after finishing. My Dad ended up being the Guarantor even though I was 28 at the time.
Would I act as guarantor for someone else? Perhaps, but it really depends on the circumstances, what for and for whom. I don't think it's fair to assume that someone who needs a guarantor would necessarily be at fault - they could simply be young and have no credit record.
Unfortunately there were a few instances where I was unable to pay on time, and despite negotiating with the lenders, it still had an impact on my credit rating. Sufficient that I required a guarantor when I wanted to move apartments after finishing. My Dad ended up being the Guarantor even though I was 28 at the time.
Would I act as guarantor for someone else? Perhaps, but it really depends on the circumstances, what for and for whom. I don't think it's fair to assume that someone who needs a guarantor would necessarily be at fault - they could simply be young and have no credit record.
oldwheels
Legendary Member
- Location
- Isle of Mull
Never been asked but I did sub the kids sometimes as a gift and not a loan. They never abused that.
I once had an employee who had his wages stopped by a court order. He had acted as guarantor for a nephew to buy a guitar but who never paid the HP. The guy was a good worker but not the sharpest tool in the box. He was very surprised that he did not automatically get sacked as that appeared to be normal practice in those days. I saw no point in making his situation worse and he was a good worker and unlikely I thought to resort to theft.
I once had an employee who had his wages stopped by a court order. He had acted as guarantor for a nephew to buy a guitar but who never paid the HP. The guy was a good worker but not the sharpest tool in the box. He was very surprised that he did not automatically get sacked as that appeared to be normal practice in those days. I saw no point in making his situation worse and he was a good worker and unlikely I thought to resort to theft.
swee'pea99
Legendary Member
...is the right answer.
Rusty Nails
We remember
- Location
- Living in the slow lane
It all depends.
Three years ago my sister phoned me to say my nephew (35 yrs old) had been to her house, crying, because he had got into financial problems (unbelievable business venture) and she was going to lend him £3000. I told her not to do it but she is very family oriented and our brother had died a few years before and we promised him we would look out for his sons, but she had made her mind up. Plus he had three kids.
She hasn't got a lot of money so I said I would lend him half, realising it was very likely that she would end up losing a lot.
I talked to him, telling him not to let us down, got him to sign a loan repayment form, witnessed by a friend of mine.
You can guess the rest. Hell of a struggle getting regular payments off him, gave him threats of legal action, gave him the guilt trip about his dad, and he gave sob stories and money came in dribs and drabs. He paid back about a thousand and then nothing.
Despite my bravado I could not take legal action against him and we decided to call it quits, and have never spoken to him since then.
At least my sister only lost a thousand, and I have given her half of that back.
It was a very expensive lesson, which I went into with my eyes open to try to stop my sister losing more, and my biggest regret is knowing how my brother would have felt about his son's actions.
Three years ago my sister phoned me to say my nephew (35 yrs old) had been to her house, crying, because he had got into financial problems (unbelievable business venture) and she was going to lend him £3000. I told her not to do it but she is very family oriented and our brother had died a few years before and we promised him we would look out for his sons, but she had made her mind up. Plus he had three kids.
She hasn't got a lot of money so I said I would lend him half, realising it was very likely that she would end up losing a lot.
I talked to him, telling him not to let us down, got him to sign a loan repayment form, witnessed by a friend of mine.
You can guess the rest. Hell of a struggle getting regular payments off him, gave him threats of legal action, gave him the guilt trip about his dad, and he gave sob stories and money came in dribs and drabs. He paid back about a thousand and then nothing.
Despite my bravado I could not take legal action against him and we decided to call it quits, and have never spoken to him since then.
At least my sister only lost a thousand, and I have given her half of that back.
It was a very expensive lesson, which I went into with my eyes open to try to stop my sister losing more, and my biggest regret is knowing how my brother would have felt about his son's actions.
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Bromptonaut
Rohan Man
- Location
- Bugbrooke UK
Like others here I've acted as guarantor for rent in student accom. Made crystal clear on both occasions that my guarantee was limited to their personal payment and not anything the fell back on them under joint laibility if another bod defaulted.
Also lent The Lad the price of his car while he waits for a legacy from his Gran to come through.
Also lent The Lad the price of his car while he waits for a legacy from his Gran to come through.
T.M.H.N.E.T
Rainbows aren't just for world champions
- Location
- Northern Ireland
Don't think I would, and I say that as someone who in the past had loans that required a guarantor. Think back to the Amigo loans days, I had 2 maybe 3 of them with my mum guarantor.
However my financials and credit rating are not only very healthy but hard earned and I doubt anyone would get the chance to ruin my hard work.
However my financials and credit rating are not only very healthy but hard earned and I doubt anyone would get the chance to ruin my hard work.
