Discretionary Commission Arrangements - Compaints and refunds

Guarantor Loans

Guarantor Loan Complaints

When you applied for a Guarantor loan the lender should have checked to see if the loan is affordable to you before allowing you to borrow the money. Just because you had provided someone who would “guarantee” the repayment of the loan, does not give the lender the right to ignore affordability.

We work on a true No Win No Fee basis if when we complain about a Guarantor Loan we win, the refund is deducted from any outstanding loans you still owe the lender. If you have already repaid the loan you will get a refund of the interest you paid plus 8% statutory interest added.

We only charge our fees on the net amount you win. So if you are not sent any money, we do not charge any fees. There is no risk to you at all. Have a look at our page on fees for some examples: Click Here

The person who guaranteed your loan (the guarantor) will not be affected by you making a complaint. They should not be told that you are making a complaint and nothing will change with them as long as you keep making repayments. If they have made payments on your behalf we often get the money back for them and because we are decent people, we do not charge our fees on any money returned to your guarantor.

Guarantor loans are a type of loan in which someone else agrees to cover the borrower's repayments if they default on the loan

Guarantor loans are a great option for individuals who have improved their credit score but may still not be able to qualify for certain loans due to low income or a limited credit history. With a guarantor loan, an individual agrees to assume the repayment obligation if the borrower defaults on the loan. This type of loan can offer appealing interest rates and reasonable repayment terms, making them attractive to those who need a financial avenue that helps them build their credit over time. It is important to note that both the borrower and guarantor must thoroughly understand their responsibilities before agreeing to operate under this type of loan agreement.

In the UK, there are over 1 million people with guarantor loans

In the UK, it is estimated that there are currently over 1 million people who have taken a guarantor loan. This form of credit has become increasingly popular due to its flexibility and simplicity in terms of setting up the loan agreement. In particular, many borrowers find the ability to access such funds quickly and with minimal fuss appealing. Guarantor loans come with various benefits, such as always being able to acquire the amount required and never having to worry about missing potential credit opportunities due to low scores. As this type of loan offer becomes ever more accessible and socially accepted, we can expect the number of users in the UK to continue to grow rapidly in coming years.

If you're considering taking out a guarantor loan, make sure you can afford the repayments before you agree to be someone's guarantor

If you're pondering taking out a guarantor loan, it is essential to go over the financial details and consider whether you can afford the repayments before signing your agreement. It is absolutely paramount that you understand exactly what agreeing to be someone's guarantor means for your own financial outlook; if the borrower cannot maintain their loan repayments or has difficulty making payments, the responsibility automatically passes onto the guarantor. As such, ensure any guarantor loans you intend to enter are well within reach financially as it could otherwise affect your ability to meet future commitments.

Be aware of the risks involved in being a guarantor - you may end up having to pay off someone else's loan if they default

Guarantors are liable for a loan if the borrower defaults and can be hit with massive bills they're unable to pay. It's important to understand the risks associated with this commitment before taking on the role, as guarantors may end up solely responsible for paying off someone else's loan. Loan companies typically take legal action against guarantors when a consumer fails to keep up repayments, so it pays to read the small print of any agreement before signing. The greatest risk is shouldering debt you never expected or can't afford -- financial advisors recommend seeking professional advice before becoming a guarantor and discussing all scenarios so you're aware of what could happen in different circumstances.

If you're considering taking out a guarantor loan, make sure you understand the risks involved. You may end up having to pay off someone else's loan if they default, which could ruin your own financial situation. Be sure to only agree to be a guarantor if you're confident that the borrower will be able to keep up with their repayments.