Need to be guarantor for dad, company needs 6 months bank statement

blaze0177

Hi all, sorry if this is posted in the wrong place...

So my dad needs two guarantors for his new contract at work (me and my brother). This is needed as he deals with money on a daily basis and they want guarantors to make sure someone could pay anything back if he runs off with money (which would never happen).

Anyway they are asking for a copy of my passport and also 6 months bank statements certified by a solicitor. My issue is with the bank statement as in 4/6 months I had gone into the overdraft (£2000 interest free grad overdraft) - anywhere between 3 of them were circa £200 and once was nearly £500. It had been paid off every month with my wage from work and for the past 2 months I have not gone into it. The reason I went into it in those 4 months was because I was living in London and living costs were very tough, I have now moved home hence the no overdraft...

Will this hinder my chances of being a guarantor for him?

If any more details are needed from me, let me know.

Thanks in advance.

foxy-stoat

Sounds like a scam to me!

blaze0177

I should mention the company is The Post Office so I wouldn't think that this is a scam. Thanks for your reply though.

poppasmurf_bewdley

blaze0177 wrote: »

I should mention the company is The Post Office so I wouldn't think that this is a scam. Thanks for your reply though.

This very same Post Office has bankrupted many Postmasters/Postmistresses, and put several of them in prison for falsification of accounts because of a possible (probable?) computer software fault.

Have you checked on this before you sign up to make good any shortfall?

tomtontom

Guarantors tend to be home owners, or have other security that could cover any shortfall. I'm not sure that you'd qualify?

I'd also echo poppa's comments on RM. Be very careful what you/ your father are agreeing to.

dealer_wins

I would advise anyone to never be a guarantor for anyone else, even family members.

If you need a guarantor then you cant afford it.

blaze0177

poppasmurf_bewdley wrote: »

This very same Post Office has bankrupted many Postmasters/Postmistresses, and put several of them in prison for falsification of accounts because of a possible (probable?) computer software fault.

Have you checked on this before you sign up to make good any shortfall?

Thanks for the reply. I mean my dad has been with them for over 2 decades...I would struggle to think they are trying to scam him or falsify him in any shape or form, just a simple new contract. That being said I did not know that several postmasters had been put in prison due to account errors... Would you have any thoughts on my situation as a guarantor?

tomtontom wrote: »

Guarantors tend to be home owners, or have other security that could cover any shortfall. I'm not sure that you'd qualify?

I'd also echo poppa's comments on RM. Be very careful what you/ your father are agreeing to.

Thanks for the reply. Understood on the guarantor comment. If I was a home owner, would my overdraft situation have any impact on it all?

dealer_wins wrote: »

I would advise anyone to never be a guarantor for anyone else, even family members.

If you need a guarantor then you cant afford it.

Thanks for the reply. This is for a contract rather than a purchase so to speak.

foxy-stoat

blaze0177 wrote: »

I mean my dad has been with them for over 2 decades...I would struggle to think they are trying to scam him or falsify him in any shape or form, just a simple new contract. That being said I did not know that several postmasters had been put in prison due to account errors... Would you have any thoughts on my situation as a guarantor?

Simply new contract that requires him to find 2 people to be financially liable should they require. What are they going to do if he cannot find 2 people, sack him after 20 years? I didnt think so.

HappyMJ

blaze0177 wrote: »

Thanks for the reply. I mean my dad has been with them for over 2 decades...I would struggle to think they are trying to scam him or falsify him in any shape or form, just a simple new contract. That being said I did not know that several postmasters had been put in prison due to account errors... Would you have any thoughts on my situation as a guarantor?



Thanks for the reply. Understood on the guarantor comment. If I was a home owner, would my overdraft situation have any impact on it all?



Thanks for the reply. This is for a contract rather than a purchase so to speak.

How much is your potential liability going to be? Can you prove you can cover it by selling/liquidating your assets? I know you said he wouldn't but people do go bankrupt through absolutely no fault of their own and they want you to be able to cover the shortfall.

Having been in overdraft in the last 12 months with no savings wouldn't qualify you as a guarantor in my mind.

andyfromotley

A contract that requires tow guarantors is anything but simple!!!

I hate this as an idea. YUK YUK!!

tiger_eyes

blaze0177 wrote: »

Thanks for the reply. I mean my dad has been with them for over 2 decades...I would struggle to think they are trying to scam him or falsify him in any shape or form, just a simple new contract. That being said I did not know that several postmasters had been put in prison due to account errors... Would you have any thoughts on my situation as a guarantor?

Just wanted to confirm what the previous poster said. Due to computer errors, the Post Office has falsely accused innocent individuals of theft, not only ruining their standing in the community and destroying their finances, but even prosecuting them and sending them to jail. It's been thoroughly covered in Private Eye, but here's a Guardian article as well. You may know that your father is an honest person and would never steal from an employer - but you can't know whether a computer error would lead to him being falsely accused. You could be ordered to repay money your father never took.

Even leaving aside the known Post Office issue, signing a guarantee is crazy unless there are strict limits on the financial liability and the time period. It's insanity to guarantee to pay an unknown amount of money at an unknown time in the future. Can you afford to pay them £1000? £10,000? £100,000? Even if your finances are strong now, can you be certain they'll be strong in a year? Ten years? What if you lose your job and can't afford to make good on your guarantee?

This is not a good situation for you.