FAQs | Real Time London Loans

The primary difference between the two types of loans is the need for a guarantor. These guarantor loans require you to have a friend, family member, or anyone else you might know come and guarantee your loan for you. This is not something you need elsewhere. Furthermore, you see your credit ratings and ability to put a collateral become irrelevant. Again, something you don’t see elsewhere.
This requirement of finding a guarantor allows providers to disregard your credit ratings and ability to secure your loan. You don’t need impressive credit ratings anymore, nor own a house to keep as collateral. Not creditworthy?Doesn’t matter.
There is certainly no lack of bad credit products, but are those products actually helpful? No. With sky-rocketing interest rates, there is little helping there and more of piling up on the already hefty woes. When guarantor loans are compared to the likes of payday or logbook loans, the difference is apparent, with the former being extremely expensive and the latter requiring you to own a car.

Guarantor loans, for this ease, have gained increased popularity and so, the formation of providers like Buddy Loans and Piggy Guarantor Loans.
Just as much as the person right next to you, and the one behind. That’s right, everyone is equal when it comes to credit ratings. It is your ability to find an eligible guarantor that actually matters here.
Anyone who trusts you enough to guarantee your loan is eligible to be your guarantor. From a family member, to a friend, or a colleague, it simply doesn’t matter. As long as that person meets our criteria, you’re golden.

However, for anyone to be considered eligible, there are a few requirements. Firstly, the person must not be financially linked to you. This means that your spouse is ineligible to be your guarantor. The person must be at least 21 years of age, and not just be a citizen of the UK, but also own a house here in the UK. In addition, the person must also have a good credit history so that the provider is able to take their word.
The question to this answer must be read with care. The role your guarantor assumes here bring along with itself substantial responsibility. Being your guarantor means using their own credibility to allow you a loan. So, in any case of default or late payments, while the repercussions will be quite the same, you will not be the only one facing them. If you have defaulted altogether, your guarantor’s credit ratings will also reflect that. If there is a case of missed payments, your guarantor would be required to pay the difference.

Providers will make your guarantor aware of this responsibility before anything official is signed. Therefore, it is always better to put this on table before you ask anyone to assume this role for you.