What is the Role of a Guarantor in a Two-Wheeler Loan?
- Posted:20th November, 2024
- Updated:20th November, 2024
A guarantor is an individual who agrees to take responsibility for repaying the loan if the primary borrower is unable to do so. The role of a guarantor includes:
- Co-signing the Loan Agreement: The guarantor essentially acts as a co-signer, sharing the legal obligation to repay the loan if necessary.
- Providing Assurance: The guarantor assures the financial institution that the loan will be repaid, reducing the institution’s risk.
- Loan Approval: A guarantor’s good credit history and financial stability can increase the chances of loan approval.
Popular FAQs
- What are the typical loan terms for used commercial vehicle finance?
- What are the benefits of financing a used commercial vehicle?
- What factors influence the approval of a used commercial vehicle finance application?
- Who typically uses commercial vehicle finance?
- How is commercial vehicle financing different from regular auto financing?
- What types of used commercial vehicles can be financed?
- Can I use LAP for real estate investments?
- How does prepayment work for LAP?
- What happens if I default on LAP payments?
- What is the importance of property insurance in LAP?
Recent FAQs
- What is a Fixed Deposit?
- Does FD pay monthly interest?
- Will I have to pay a penalty to withdraw FD before its time?
- Can I Start an FD online?
- Which Type of FD is Best?
- Can I Deposit 10 Lakhs in FD?
- Does FD Renew Automatically?
- How can I break my FD without penalty?
- What is the maximum time limit of FD?
- Does FD have a lock-in period?
Get a two wheeler loan at low interest rates
Most Viewed FAQs
- Can I Get a Gold Loan for Medical Purposes?
- How to Claim the Fixed Deposit Amount After Death?
- What happens if a Loan against FD is not paid?
- What is the Maximum Tenure for a Gold Loan for Agricultural Purposes?
- Can I Get a Gold Loan for Travel Purposes?
- Can I Get a Gold Loan for Educational Purposes?
- What is the Maximum Loan Amount That Can Be Availed by Pledging Gold?
- Can I Get a Gold Loan for Home Renovation Purposes?
- What happens if the depositor passes away?
You may be interested in
- Home
- Financial FAQs
- What is the Role of a Guarantor in a Two-Wheeler Loan?