Frequently Asked Questions About Guarantor Loans
Our guarantor loan FAQ has been divided into two sections – one is borrower FAQ, and another is Guarantor FAQ. Let’s have a look at them respectively –
Question: How does a guarantor loan work?
Answer: There is a small difference between applying for a standard loan and a guarantor loan. The standard loan usually involves a lender and a borrower. On the other hand, with a guarantor loan, the borrower needs to bring someone who is willing to be a guarantor and pay off the loan amount when the borrower is unable to pay. This provides with enough security to the lending company which ensures that there is another person who will take the responsibility of repaying the loan and thus, there exists high approval chances.
Question: Can I clear my payday loans or other loans with a guarantor loan?
Answer: Yes, you can pay off your payday or other loans with a guarantor loan. A guarantor loan can be taken over a long period of time, and this makes it easier for you to pay off loans each month.
Question: How easy and quick is it?
Answer: Once you complete the necessary processes, our guarantor loan team will transfer funds within 24 hours in your guarantor’s bank account. The process is easy, and it takes less time to approve the loan.
Question: How do I apply for the loan?
Answer: Applying for this loan online is quick and easy. All you need to do is to follow the process carefully. First, you need to click on the apply button featured on the Home page of the website. After clicking on this button, you will be asked to provide your personal details and the amount you would like for the loan. To make your loan approve faster, you need to provide your guarantor’s details during the application process.
Question: Will the interest rates or payment increase during the tenure of the loan?
Answer: No, your monthly payment amount or the interest rate will not increase in any way, unless you choose to pay extra. Even if the interest rate for the guarantor loan changes throughout the world, it will not affect your loan.
Question: Can I repay the loan early?
Answer: Yes, you will get the opportunity to pay off your loan early during the specified tenure.
Question: Does bad credit cause any problem?
Answer: Apparently No, if you are taking a guarantor loan, then your bad credit history will not affect your loan because you have a guarantor who will be held responsible for paying off your debt when you are unable to pay.
Question: Will my credit score get affected by taking a guarantor loan?
Answer: You will be treated as a guarantor, not a borrower, and this will surely affect your credit score for short-term loans.
Question: Why do you require my bank and other ID proofs?
Answer: We use personal details to ensure it is you who is taking the loan. This helps in speeding up the loan application process.
Question: Why will the funds be delivered to my account and not the borrower’s?
Answer: The funds are transferred to your account following our security process. Being a guarantor, you will always be aware that a loan has been paid by us.