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  • FIRST POST
    • spriggsy
    • By spriggsy 13th Mar 18, 1:54 PM
    • 33Posts
    • 4Thanks
    spriggsy
    Business Loan - Personal Guarantee
    • #1
    • 13th Mar 18, 1:54 PM
    Business Loan - Personal Guarantee 13th Mar 18 at 1:54 PM
    Hi,

    I'm a business owner and I'm looking into a business loan through Funding Circle to expand our business. One of the stipulations of taking a business loan out with them is that each director has to give a personal guarantee, which involves a credit check.

    My question is, will this search leave a mark on my personal credit file in the same way as if I applied for a personal credit card or loan? Also, would the loan show up on my credit file?

    I'm just making sure I cover all bases as I don't want to harm my chances of future credit applications later down the line.
Page 1
    • Tarambor
    • By Tarambor 13th Mar 18, 4:33 PM
    • 3,033 Posts
    • 2,193 Thanks
    Tarambor
    • #2
    • 13th Mar 18, 4:33 PM
    • #2
    • 13th Mar 18, 4:33 PM
    Yes it will leave a search, the loan won't show up on your credit file as the Ltd Company is a separate legal entity, in effect a separate person.
    • seatbeltnoob
    • By seatbeltnoob 13th Mar 18, 5:28 PM
    • 450 Posts
    • 107 Thanks
    seatbeltnoob
    • #3
    • 13th Mar 18, 5:28 PM
    • #3
    • 13th Mar 18, 5:28 PM
    Yes it will leave a search, the loan won't show up on your credit file as the Ltd Company is a separate legal entity, in effect a separate person.
    Originally posted by Tarambor

    Unless of course the company is unable to pay and then the guarantor has to step in carry on payments on the loan
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