If the user applies for a guaranteed loan, a guarantor is required. If the user does not apply for a guaranteed loan, a guarantor is not required unless the lending institution requires the user to provide a guarantor. For example, credit loans, that is, unsecured and unsecured loans, can be applied for as long as the user has good credit.

First, bank loans require guarantees, but not necessarily only guarantors. Personal guarantee, material guarantee, and mixed personal guarantee are all available. Personal guarantee means providing a guarantor. If there is no qualified guarantor, property security can be taken, that is, through other movable or immovable property mortgages. Guarantee is a necessary condition to ensure that the borrower repays the loan on time.

Second. Banks often require lenders to provide one or more guarantors when they do not qualify for a loan. A guarantee contract will be legally binding only if the guarantor and the guarantor's lover (the owner of the property) sign a guarantee contract. The bank needs to know the guarantor's physical situation, such as ID card, household register, work permit, income, etc. If the bank feels that the borrower's conditions are insufficient in some aspects, it will refuse the loan or require additional guarantees. For example, when a young person born in the 1990s applies for a housing loan, the bank requires a guarantor because his monthly payment exceeds 50% of his income and there may be a risk of supply interruption and he needs to provide other sources of repayment. When a borrower is unable to repay the loan, the bank, in addition to requiring guarantees, may also require an increase in down payment or an increase in loan interest rates.

Third, under normal circumstances, a guarantor applying for a bank loan should meet the following conditions: 1. A natural person with full civil capacity between the ages of 18 (inclusive) and 65 (inclusive); 2. Have a legal and valid identity document (resident ID card, household register or other valid identity document) and proof of marital status; 3. Have a good credit record and willingness to repay; 4. Have a stable source of income and repay the loan in full and on time The ability to pay principal and interest.

Fourth, if the borrower fails to repay the loan, the guarantor will be responsible for the repayment. You must think carefully before accepting to be a guarantor. The reason is that when signing money and debt guarantees, the individual is responsible for repaying the debt to the lending institution. Even if the relationship between the guarantor and the debtor changes, for example, the husband guarantees the wife's loan and the two divorce, the guarantee will not be affected by the dissolution of the marriage. It still works. In other words, once a guarantor signs a contract to be a guarantor, he remains a guarantor unless the borrower is disqualified as a guarantor with the approval of the lending institution. The mortgage guarantor shall bear all responsibilities. Under normal circumstances, the borrower repays the loan on his own and the guarantor does not need to worry, but the loan amount and monthly payment borrowed by the borrower will generally be shown on the guarantor's credit record.