Guarantor of a business loan

phil_123

Hi

I was a guarantor of business loan set up several years ago. 2 years later the loan was combined with the company overdraft almost doubling its value but without my knowledge. The company went bust last year and I'm now being chased for the full repayment of the company borrowings (i.e. the consolidated loan and overdraft debt)

Is the original guarantee still valid? and am I liable for all of it or only what is outstanding of the original loan value (plus interest presumably)?

In addition the original guarantee was limited to a certain amount that is well exceeded by the combined debt., does this limit my liability in anyway?

thanks
P

iolanthe07

Sorry, but imho this is too important to leave to a bunch of amateurs on a public forum. You really need to consult a solicitor or perhaps a chartered accountant who specialises in this sort of thing and can have a look at the agreement you signed.