Can I stop being a guarentor?

Brains64

Shakin_Steve wrote: »

And if you read my post properly you would see that I didn’t even mention recovery of the debt. I stated that your credit file would be trashed for six years.
Unless, of course, you know that they don’t report to the CRA’s either.

Welcome to my world , no, I did read this too and you are correct there, it will impact on their credit report if they are deemed to have defaulted by the lender but that's the worst that can happen, these loan companies always threaten people with that one, I have more than one default on my credit report and I'm still alive, it's not the end of the word Lol, putting a default on your credit report is just about their biggest "weapon of mass destruction":rotfl:.

bearcat16

I have more than one default on my credit report

Somehow I’m not surprised.

Still alive maybe, but unable to obtain mainstream credit, which for anyone who wants to buy a house, get car finance etc is a fairly massive problem.

Brains64

bearcat16 wrote: »

Somehow I’m not surprised.

Still alive maybe, but unable to obtain mainstream credit, which for anyone who wants to buy a house, get car finance etc is a fairly massive problem.

Oh sure but I wasn't able to get much of those even BEFORE I got defaults on my report, what's new? Some accepted my application and some didn't back then and this is still the case now, little has changed, there are no guarantees of being accepted for credit, mainstream or otherwise based purely on having no defaults on your credit report, it's irrespective, if it was guaranteed, then you'd have a case.

If, for example, you had zero credit activity on your report, THAT (mad as it seems) can ALSO be used against you (which it was in my case before I got defaults) because the potential lender will have no idea what they are dealing with at all, so on that basis, you won't get credit, in fact, ironically, someone with a default would be better off than someone with nothing on their report at all :rotfl:.

Nobody gets knocked back purely, for one thing on their credit report, whether it's a default or some other issue, it is a combination of many different things that lenders designate as their 'criteria' and that applies to both mainstream lenders and the cowboy ones, it's not the big make or break people fear, it's a factor, that's all, just one factor.


Lenders threaten their customers with reporting their default and "making it harder for them to obtain credit in the future" purely for the purpose of trying to scare them into paying up, they're not telling them that because they care so much about the welfare of their customers and want them to be able to obtain more credit, they couldn't give a stuff you know.

Former_MSE_Andrea

Hi everyone,

Please remember to keep posts friendly please.

Please also remember all posts on this forum are made by members of the public. Everyone reading posts on here needs to do their own research and make their own minds up based on that full research.

Thanks!

sourcrates

Gentlemen,

I have to agree a lot of what brains64 says is true, no matter how much a lot of you have been berating him for it.

Less than 10% of bad debts ever go to court, 90% of the time, you get no more hassle than letters and phone calls.

Amigo use debt collectors to chase up bad debts from the original customer, and the guarantor, they have the same recourse to use the courts, just like anyone else, and this does happen, although a lot of the time it just gets threatened.

Remember, this loan is not secured, so the guarantors property is not at risk, they can only use enforcement methods as for any other unsecured credit debt.

Your credit file will be trashed anyway, but a lot of people who opt to guarantee these loans for a girlfriend/wife/husband whatever, do so without giving it the thought it deserves, and if that person leaves you in the lurch, as has happened here to the original poster, you come back down to earth with a bang, and most people are unaware of there rights in these situations.

Advising people to take out there own loan to repay an outstanding debt, is not good advice, set up a payment plan, or look at another option if you have your own debt to consider, also take advice from a debt charity, but don't rush into a solution that's not right for you, take your time to choose the best option.

tintown

A relative agreed to be a guarantor for a so called friend, as soon as they received the money they refused to pay anything and said its on their back,could they report them as some kind of fraud as they have no intention of paying one payment. What can they do as its a scam ?

DCFC79

tintown wrote: »

A relative agreed to be a guarantor for a so called friend, as soon as they received the money they refused to pay anything and said its on their back,could they report them as some kind of fraud as they have no intention of paying one payment. What can they do as its a scam ?

Should have started your own thread.

Who has received the money ?

tintown

the girl who took the loan has the money,she bought a car and went on holiday, rang the bank and cancelled the payments with the bank now my relative is liable for the loan as guarantor.

jonesMUFCforever

tintown wrote: »

the girl who took the loan has the money,she bought a car and went on holiday, rang the bank and cancelled the payments with the bank now my relative is liable for the loan as guarantor.

Indeed that is correct - that is why A the girl could not get finance anywhere else and B Amigo only lend with a guarantor.

Probably the best way to deal with it is to get the car off her - good luck!

Malthusian

jonesMUFCforever wrote: »

Probably the best way to deal with it is to get the car off her - good luck!

How? It's her car.