How are guarantor loans different from other bad credit loans?


The most obvious difference between what we offer and other bad credit loans is the need for a guarantor. However, in exchange for this, what we offer more than makes up for it. Your everyday bad credit loans come with amplified interest rates, which usually do more harm than good. What is the point of getting a loan, whose obligations are clearly surpassing your ability to service it? Our loans have APR that is within the 50% mark, which is quite incredible when compared to the likes of payday or logbook loans. Another difference you might notice is that since your guarantor acts as the assurance we need to get you your loan, in case of any mishap, your guarantor would have to bridge the gap for the payments you can't make.


I have bad credit and have defaulted a couple of times in the past. What are my chances?


We, at Navanti Loans, offer you guarantor loans that do not concern themselves with your credit ratings. What this means is that regardless of how creditworthy you are, it is not a contributing factor in our willingness to approve your loan. This encompasses all the defaults and missed payments that you have caused in the past. Therefore, even if you have a credit rating that you are ashamed off, Navanti Loans is one place you do not have to hide it. Regardless of what you have, your chances are equal to the chances of a person who has never defaulted in his life, given you manage to get an appropriate guarantor.


Who can vouch for me?


Pretty much anyone from the people you know from your childhood to people you just met can be your guarantor. However, there is a requirement that your guarantor must not be financially linked to you. This counts out your spouse. In addition, the person you choose must be above 21 years of age, be a citizen of the UK, have a good credit rating, and own a house in the UK. Since we are not looking at your credit ratings, we shift the emphasis to that of your guarantor. Therefore, acceptance of your guarantor is subject to these requirements.


Why would the guarantor's assurance matter more than my ability?


The guarantor loans we offer are designed to suit people who are unable to get access to loans themselves, due to bad credit or some other reason. Consequently, this loan is for you only fit into this category. It would make little sense to have someone else get someone else guarantee your loan if you can get it for yourself.


When your own ability falls short of what is required, we look towards the financial reputation and ability of your guarantor instead. When you have someone else guarantee your loan, you reduce the risk by making your guarantor responsible for making payments in the event of you failing to do so. This is where these loans generate their name from. Thus, your loan approval is subject to the assurance of your guarantor, instead of your own ability.


What happens if I default?


The role of your guarantor is of great responsibility. Guaranteeing your loan means that your guarantor agrees to be held responsible, in case you miss payments or default altogether. Thus, the consequences of your default would be quite identical to what they usually are, but instead it would be your guarantor paying the price for it. However, if the case is of missed payments only, your guarantor would be expected to make up the difference.