Contents of the guarantee
What should be in a guarantee?
The guarantee must be in writing and must be signed by the guarantor.
A guarantee should generally include:
- the amount of money for which the guarantor is responsible
- the circumstances in which the guarantor might have to pay – for example, if the borrower misses their payments, and
- how long the guarantor’s obligation will last for – for example, until the borrower repays the loan in full.