Who Can be a Guarantor for a Loan?

When applying for a loan, some lenders might require you to have a guarantor. This is the person who will be responsible for repaying your loan in case you default or are unable to service the loan. It is worth noting that your family members, friends or relatives, except your spouse, can be your loan guarantor. However, not everyone can be your guarantor. So, who can be a guarantor for a loan? BadCreditsite have given us some pointers. Read on to know the requirements for one to be a loan guarantor.

Typical Requirements for a Loan Guarantor

Most lenders have a set of conditions that a guarantor must meet before he or she can guarantee your loan. If the guarantor you have in mind does not meet the requirements, then your loan application will not be approved. Here are the basic requirements of a loan guarantor:

Age of the Guarantor

Your guarantor should be above 18 years of age and preferably, between 21 and 75 years old. This is because a guarantor should be able to understand the responsibility that awaits them before they consent to guarantee you a loan.

Credit Score

A guarantor should have a good credit history. This will prove that the guarantor can undertake to repay the loan if the applicant is unable to for whatever reason. Lenders normally do a background check on the credit score of the guarantor you submit. This is usually done through credit reference bureaus or agencies. So make sure you get a guarantor with a good rating for your loan application to be successful.

Financial stability of the guarantor is a good indicator of his/ her ability to take the responsibility of servicing the loan in the case of default. People with good credit score ratings are trusted by lenders. This will boost your chances of getting your loan application approved.

UK Resident

Both you and your guarantor must be permanent UK residents. This is because it will be easy for the lender to track and contact you. It avoids instances where a guarantor can disappear and become difficult to reach if they are residents of a foreign country.

Willingness and Ability to Repay


A guarantor should capable and willing to help you settle the debt if you face serious financial challenges to the extent you cannot afford to service your loan. Your guarantor should be happy to help you repay your debt at any time you need help. This is important since you do not want to strain your relationship with your friend or relative who accepted to guarantee your loan.


Although tenants or persons living with their parents may qualify to be loan guarantors, homeowners are generally considered to have a higher credit score. In the former case, their credit record should be in good books with lenders.

Email Address

Your guarantor should have an email address for notification by the lender confirming that they are guarantors.

You and your guarantor should not be holding a joint financial account. Your finances should be separate. A guarantor should hold a bank account since some lenders may want to deposit the loan into your guarantor’s account.

The above requirements are standard and apply to most banks and lenders. However, different lenders may adopt other requirements that a guarantor must satisfy before they can be accepted to guarantee your loan.