Guarantors

Who among us would refuse to act as guarantor? It would appear – come into the bank to sign and make good friends or relatives. But if a friend for whom you vouch break a credit agreement, you will meet great challenges. Money that is lent an outsider, you have full or partial repayment. Initially between the surety and the bank is a contract where the stipulated liability of the guarantor and conditions of reimbursement of debt. Options liability may be two. With the full bail returns the entire debt on the loan pays the interest, fees, fines, penalties, refund any possible losses. Partial responsibility involves paying only a portion of loan amount and interest on them. More responsibility may be shared or subsidiary.

The first time the bank has the right to present claims to the surety, if they can not be met from the assets of the borrower. When joint and several liability they meet at the same time and in full. If your friend does not pay a loan in the future and not rely on the loan. Some banks have partial responsibility does not take primenyaetsyKak debts? If you regularly abuse the credit agreement the borrower the bank sends a letter to the surety with a proposal to repay the debt. At the first stage of the bank, through its security service is trying to convince the surety volunteered to perform the duties. Even if the guarantor pays regularly, with delays smaller amounts, but he does not deny the need for full calculation and is not concealed, the bank treats it bearable.

Any bank want to quickly close the loan, but not to work with claims. If the guarantor does not pay the loan, the bank will submit a claim for recovery of debt in court. When a court decision in favor of the bank to the business executive begins office. Impose penalties on the property: first, the money, then movable property, then the real – usually through an auction. Another problem is the guarantor, substituted their friends – the negative credit history. After all, the guarantor and the borrower is committed to the database of the bank and a credit bureau. Therefore, many banks may refuse to grant the loan, if the guarantor negligent debtor wants to borrow.

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