As long as you are a property owner with good credit history, and you are aged between 25 and 72, then you may act as a guarantor. The only stipulation to this rule is that we cannot accept anyone who lives with the application that is a spouse or partner. It all depends on the amount the applicant has asked for; we only provide £500 – £7500 loans so will be within that amount. All the details of the size of the loan are clearly stated, including any fees, on the indemnity form you will have to sign before the funds are released so you will be fully aware of the exact amount you are guaranteeing. As long as the applicant meets their obligations of paying the monthly payments on time, then the loan balance will reduce over time, until it is paid in full at the end of the term of the loan. At this point your liabilities are discharged. There are details of how the early repayment figure is calculated in the loan agreement. In the early days of the loan it is possible to owe more than was originally borrowed due to interest and fees. The applicant can also change their mind about wanting the loan within 14 days of the agreement being signed, if they wish to do this they must contact their lender and pay back the full amount lent within 14 days of the agreement being signed. With your consent you will be credit checked, to confirm you are eligible to stand as a guarantor for the applicant. However the credit search will leave a footprint to say that a credit score has been performed, but that is all. The interest rate is fixed for the term of the guarantor loans so there are no nasty surprises if the BOE decides to raise interest rates.