Garuantor status in jeapardy for strange reason

Blackavar

I am being assessed as a guarantor for family member renting a flat.
I am early retired living off savings pending SP kicking in soon.
I have no salary/other income but can demonstrate cash in bank accounts, pension pots, ISA’s which I would have thought would be looked on more favourably as a salary which can disappear tomorrow.
I have a significant amount in Premium Bonds which would cover the rental period many times over but was advised these could not be taken into account as ‘they can fluctuate in value’. I tried to explain that this really was not the case but the agent was having none of it. Awaiting a decision but not confident as it seems a big regular salary is all they will accept.

SmashedAvacado

Are you surprised that a letting agent is behaving in an illogical manner?

I have yet to come across an impressive lettings agent.

lookstraightahead

Another option is to pay upfront the rent for your relative with a view to it being a 'loan' (not sure how it works in practice).

Thrugelmir

Blackavar wrote: »

Awaiting a decision but not confident as it seems a big regular salary is all they will accept.

Easier to persue someone in gainfull employment than a pensioner with a progressively depleting savings pot.

ThePants999

Blackavar wrote: »

I have a significant amount in Premium Bonds which would cover the rental period many times over but was advised these could not be taken into account as ‘they can fluctuate in value’.

I can't decide whether to laugh at the clueless letting agent, or cry that you have a significant amount in Premium Bonds.

Blackavar

The pot won’t deplete too much over the 6 months of thevrental agreement.

Blackavar

Premium bonds keeping us well ahead of bank rate over last couple of years and certainly better than my investments over the past couple of months ��

Slithery

Blackavar wrote: »

The pot won’t deplete too much over the 6 months of thevrental agreement.

No, but what if the tenancy continues for 5+ years?

The LL wants the security of someone with a regular wage as guarantor.

Blackavar

As stated, this is a 6 month let. The LL may or may not extend after this - his choice. He must decide between a garuantor with a provable pot of cash that would cover the rent for years or one with a ‘regular wage’ who could get sacked next week. I know which I would choose but I am not a LL. I think if we were dealing with an actual LL it wouldn’t be an issue but management company is just doing a box ticking excercise.

Lorian

It may be a 6 month rent but based on the few guarantor agreements I've seen you may find it is actually open-ended and overs any renewal of the rental agreement, worth checking.

AnotherJoe

I posted about this maybe a year ago, with the question "what's my income" or something like that, in that I'm in a similar situation to the OP, asset and cash rich, no actual "regular" income as such from any recognised sources such as an annuity or a salary, and I could see a potential problem if i wanted, for example to geta car lease or anything that needed to "prove" my income.
I don't think that companies and organisations are set up for those whose income is in part or whole drawdown, and voluntary.
I have no solution for your current situation OP but the answer I have gone with is to pay myself a regular monthly income from my various sources (even if I don't need it that month, I just send it back again), but if asked, as I was on my car lease application, I state what my income is (that same amount) and I also have a record of regular payments to that amount into my bank account to prove it.