There are two kinds of guarantees: one is general liability guarantee and the other is joint liability guarantee. Generally speaking, what banks require is joint and several liability guarantee, that is to say, if the borrower does not pay back the money, the bank can ask the borrower or the guarantor to repay the money. There is no order between the two, so it is not necessary to wait until legal measures are taken against the borrower before asking the guarantor to repay the rest.

Therefore, if the borrower fails to repay, the bank will ask the guarantor to bear the repayment responsibility.

If the borrower does not repay the loan, it will be shown on the company's credit record first, that is to say, the company is unlikely to lend in any bank in the future. Secondly, the bank will sue and apply for property preservation, the court will seal up the company's property and deduct it to the bank or auction after the judgment, and the auction money will repay the bank's losses.

If the company's legal representative and shareholders also signed a guarantee contract, then their personal property is also within the scope of seizure, and their personal credit records will also have bad records.