What Is a Guarantor Form?

What Is a Guarantor Form?

A guarantor form is a form that a guarantor fills out to become responsible for another person's debt if the other person fails to pay the debt or cannot perform the obligations under a contract. The guarantor is only liable to the extent that the debtor would have been.

A guarantor functions as co-signer because he pledges to give his own assets or resources. If the debtor's obligations are forgiven, then the guarantor is also released from his obligations. Guarantor situations are common in personal loans, particularly if the borrower has poor credit or does not have any credit history.