Can I Change My Guarantor? | Changing Guarantors?



Can I Change My Guarantor?

So, Can I Change My Guarantor on a Loan?

No, it is not possible to change guarantors after the initial two week cooling off period has been granted.

Once someone has agreed to be your guarantor, they then have a legal obligation to complete the loan or see it through until it is paid. This is because the approval of the loan is based mostly on the eligibility of the guarantor (their income, credit score, affordability) and to change the guarantor could mean that it may not have been granted or the loans terms might be very different.

This is why the responsibilities of a guarantor must be fully understood before any contract is signed.


Can the guarantor stop being a guarantor?


No, unfortunately, if you are the guarantor you cannot suddenly remove yourself from the agreement. The main reason why you cannot stop being a guarantor is due to the significant role that your credit history plays in the loan approval process.

In most cases when a guarantor loan is taken out, the main applicant either has a bad credit score or none at all. Consequently, this makes the guarantor’s creditworthiness extremely important when the loan application is made.

Instead, the lender will focus on the guarantor’s profile to determine if the loan should be approved or declined, taking into account the following:

  • Credit history
  • Age
  • Location
  • Employment status
  • Affordability

This is why the guarantor cannot change being a guarantor, as the loan agreement terms are based on their profile, not the main borrower’s. It would be highly unlikely that you could find someone with the exact same profile and credentials.

Given that it is near impossible to find someone with the exact same employment status, affordability and credit history information, you cannot stop being a guarantor.


Can I have more than one guarantor?


No, it is not possible to have more than one guarantor on your application. With the majority of lenders, you are only allowed to have one person guaranteeing the loan. There are some lenders that may accept two guarantors – please contact us for more information.

What is the two-week cooling-off period?


This refers to the two weeks after the loan has been funded and it is the only time a person can stop being a guarantor.

When a loan is granted, the funds are transferred into the guarantor’s bank account first.  One of the reasons this is done is to ensure that the guarantor and the main applicant are both a part of the transaction process, not just the agreement.




It is at this stage you can decide what to do. You can either transfer this cash onto the main borrower and proceed with the loan. Or, you can send the money back to the lender.

If you do decide to send all the money back during this two week period, you will not incur any fees or charges for doing so.


What if the guarantor dies?


The lender might decide to make a claim on their estate in order to recover the debt. Alternatively, the guarantor’s spouse could be made liable. Given the unlikely occurrence of such a scenario, it is best to contact a solicitor for further guidance.


How do you stop being a guarantor?


  • Pay the loan off early
  • Ask the main applicant to pay off the loan early
  • Lender goes bust

The easiest way to no longer be someone’s guarantor is through making early repayments in full, as this ends the loan agreement.

The majority of guarantor lenders will allow you or the main applicant to pay off the loan in full early. This remains the case even if the loan is supposed to last for a duration of 5 years, you are still able to pay it off in just a few months if you wanted to.

Nevertheless, if you or the main borrower decide to pay off the loan early it is worth keeping in mind there could be fees involved. You may also have to pay additional interest for closing the account down during a specific period of time.

Another situation where you could stop being a guarantor is if the lender collapses into administration. If the firm goes bust, you will no longer be a part of a legally-binding agreement.

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