The signing of the counter-guarantee agreement only ensures that you can recover the arrears from the other party, but if the lender is unable to repay, the bank loan will be unconditionally compensated. Cann't run away

What does the loan guarantor mean? What is the responsibility?

The so-called loan guarantor refers to the agreement between the guarantor and the creditor. When the debtor fails to perform the debt, the guarantor will perform the debt or assume the responsibility according to the agreement. According to the "Guarantee Law", the legal liability of the loan guarantor is: if the parties agree in the guarantee contract that the guarantor and the debtor are jointly and severally liable for the debt, it is a joint liability guarantee. If the debtor of joint and several liability guarantee fails to perform the debt at the expiration of the debt performance period agreed in the main contract, the creditor may require the debtor to perform the debt, or may require the guarantor to assume the guarantee liability within the scope of its guarantee.

What is the guarantor of the loan?

"Bank loan guarantor means that the guarantor and the borrower agree that when the borrower fails to repay the loan, the guarantor shall perform the repayment obligation as agreed. Guarantee is generally divided into general guarantee and joint liability guarantee. When repaying a general bank loan, you should first look at whether the guarantee you made during the guarantee is a joint liability guarantee or a general liability guarantee. If it is a joint and several liability guarantee, the bank can choose between the borrower and the guarantor which is easier to implement and which is implemented first; If it is a general guarantee, then the borrower's assets should be recovered first, and then the remaining loan after full compensation should be recovered from the guarantor. Where the surety has not agreed on the method of suretyship or the agreement is unclear, the surety shall be liable according to joint and several liability.

What does it mean that a loan needs a guarantor?

Legal analysis

Generally speaking, there is no clear stipulation that applying for a loan must be guaranteed by a guarantor. The reason why the borrower is required to provide guarantee is mostly because the borrower's qualification is not good enough, and the lending institution only asks the borrower to provide guarantee when it feels that there is risk. If the borrower's income is stable and his personal credit is good, it is easier to apply for a loan. Of course, in addition to the guarantor, the borrower can also apply for a loan if he can provide relevant collateral, such as real estate and cars. In the case of goods guarantee, the borrower is likely to apply for a loan even if his personal qualifications are average. However, different lending institutions have different regulations, and the specific circumstances require borrowers to implement them in accordance with the regulations of relevant institutions.

A general guarantor needs to meet the following conditions when applying for a bank loan: 1, a natural person with full civil capacity, aged between 18 (inclusive) and 65 years old (inclusive); 2. Have legal and valid identification (resident ID card, household registration book or other valid identification) and proof of marital status; 3. Have a good credit record and willingness to repay; 4, with a stable source of income and the ability to repay the loan principal and interest in full and on time.

legal ground

People's Republic of China (PRC) Commercial Bank Law

Article 35 A commercial bank shall strictly examine the borrower's loan purpose, repayment ability and repayment method.

Commercial bank loans shall be subject to the system of separating loan review from grading approval.

Article 36 When a commercial bank lends money, the borrower shall provide guarantee. Commercial banks should strictly examine the repayment ability of guarantors, the ownership and value of collateral, and the feasibility of realizing collateral. After examination and evaluation by a commercial bank, it is confirmed that the borrower has a good credit standing and can repay the loan, and no guarantee may be provided.

Article 37 A commercial bank shall sign a written contract with the borrower when issuing loans. The contract shall stipulate the type, purpose, amount, interest rate, repayment period, repayment method, liability for breach of contract and other matters that both parties think need to be agreed.

Article 38 A commercial bank shall determine the loan interest rate according to the upper and lower limits of the loan interest rate stipulated by the People's Bank of China.