October 28, 2019 admin

A loan security is a guarantee to the issuer that the loan will be reimbursed in full, with interest, and that the borrower will not default. The guarantee can be, for example, your own apartment, a summer cottage, or even a piece of land you own. Deposits and securities are also eligible as collateral and, of course, an alternative is to use a guarantor. The guarantor is the person who can guarantee that the applicant will pay off his debt or, if he is unable to do so, the guarantor has a duty to pay it. Thus, the guarantor must…