Question About Guarantors

MisterMonty

Hi guys,

I'm trying to turn my situation around a little by taking care of my finances better than I have in the past.

On of the things I'm currently looking at is remortgaging. I'm on my second mortgage at the moment - it's a tracker and it's coming to the end of the two year deal.

I'm currently looking at a fixed rate repayment mortgage with the Halifax over 23 years.

Whilst filling the forms in I noticed that there was a box for a Guarantor to sign. This puzzles me a little and I wonder whether this is something that appears on all applications or whether it was specifically included to take account of my own circumstances.

I'm arranging this through a financial advisor, so I suppose I could ask them on Monday but I thought I might be able to get an answer here.

I've done a search on Guarantor but can't seem to find any relevant information.

Perhaps one of you might be kind enough to explain what circumstances would warrant the need for a guarantor.

Thank you.

BTW Here's a link to a copy of the form, so that you can see it in context. (Warning: 56K surfers don't click the link)

MisterMonty

I may have found the answer.....

Looking through the forms I saw a web address https://www.halifax-intermediaries.co.uk. The form I was sent is exactly the same as the form on the site.

I'll take it from that, that I may not have to provide a guarantor (as I didn't for my current mortgage).

Thanks anyway.

MM

Bossyboots

A Guarantor can be required by a lender if they think there is a risk of default. The Guarantor then becomes liable for paying the debt.

MisterMonty

Bossyboots,

Thank you.

That being the case, I can't see why a guarantor would be required in my circumstances. Combined with the fact that the form I saw appears to be a generic application form, I'm less concerned now.

Thanks again.

MisterMonty

The mortgage went through fine without a guarantor's signature, so this confirms that the application was a generic one.