My child has asked me to be their guarantor. What does that involve?
In essence, a guarantor is a financial backer for a tenant – they agree to cover the shortfall of any rent that the tenant fails to pay, guaranteeing to the landlord that it will be paid. Student tenants need guarantors because they cannot get the usual kinds of tenant references (employer references, credit checks and previous landlord references). A guarantor is often the parent or guardian of the tenant in question, and must be a UK resident, UK homeowner, and over the age of 25. The guarantor paperwork must be signed before the tenants can sign the tenancy agreement – we send it out to the tenants to pass to their guarantors after they have paid their agency fees and taken the property they want off the market.
The responsibilities of the guarantor are to commit to paying the rent should the tenant fail to pay, and, if the property is damaged by the tenants beyond the reasonable limit of “fair wear and tear” and the tenants’ deposit money is not enough to cover the cost of restoring the property to its condition prior to the tenancy, the guarantor agrees to pay the difference if the tenant(s) fail to do so.