Friday, January 3, 2014

Is a special guarnator verification form required with a loan note?

Question

Is a special guarnator verification form required with a loan note?



Answer

Not usually, because most loans do not involve guarantors. In those rare cases where the loan arrangements call for a guaranty to be given by a party who is not a borrower, the lender may reasonably expect the guarantor to execute one or more documents, one of which might bear a name something like "special guarantor verification."



Answer

That is up to the lender, who can require anything he wants. If you want the loan, comply or try to negotiate a change.



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