Wickerman & Worldlife - could you please clarify about Guarantor form

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    Wickerman & Worldlife - could you please clarify about Guarantor form

    I picked this up from another thread (How do I calim from Guarantor if I do not know former tenants address) and need some clarity to make sure I've understood it correctly ..

    Am I right in understanding from the replies by Worldlife and Wickerman that if the guarantor has only signed an AST and not a Guarantor form then the liklihood of a claim succeeding on just an AST is therefore remote or even non-existent ?


    Quote:
    Originally Posted by Worldlife
    Suggest you send a formal letter to the guarantor setting out the debts of the tenant and referring to the guarantee they have given and intimating that County Court proceedings could be taken if the guarantor fails to settle the alleged debt within a given period (suggest 14 days)

    In my experience guarantors will honour the agreement they have signed on the AST.

    Wickerman is spot on! If however the guarantor disputes that he did not actually sign a guarantor agreement (you can download the agreement from LandlordZONE) then you will not succeed in a County Court claim. End Quote


    --------------------------------------------------------------------------------
    Last edited by pippay; 06-06-2006, 16:50 PM. Reason: Typo
    Any information or opinion given in this post is based only on my personal experience, what I have learned from this, other boards and elsewhere. It is not to be relied on. Definitive advice is only available from a Solicitor or other appropriately qualified person. E&OE

    #2
    I don't believe my Guarantor was asked to sign a Guarantor Agreement form (just the AST) and I certainly didn't co-sign the GA form (if there was one) - so as far as I am aware, there is only one small clause on the AST that we have both signed which is very vague - so would this be enforceable on the Guarantor if I got into arrears because of a change in my circumstances due to ill health (I have warned the LL and agent that I am likely to face financial problems although I'm not at the moment.)

    Originally posted by Wickerman
    I do not get guarantors to sign the AST; we rent to students and to co-ordinate 4 (or even up to 7) guarantors to sign an ast would be a nightmare.

    Our process is:
    1. Tenants pay processing fee (small amount to cover credit checks)
    2. Tenants fill out application form + capture guarantor details
    3. Get landlord to sign (and get witnessed) guarantee
    4. Write to Guarantors with application form and guarantee, and AST copy
    5. Guarantor signs guarantee form, returns to us with application form (giving us consent to credit check), keeps AST
    6. We credit check guarantor
    7. Any problems with the credit check we either reject the guarantor or get additional backup means (references for both tenant and guarantor if needed)
    8. Once all done, get all 4 tenants in and get them to sign both the AST and their signature on the guarantee form. (and this is witnessed, too)
    Any information or opinion given in this post is based only on my personal experience, what I have learned from this, other boards and elsewhere. It is not to be relied on. Definitive advice is only available from a Solicitor or other appropriately qualified person. E&OE

    Comment


      #3
      The signature of a guarantor on an AST does not create a guarantee that is enforceable in law.

      The guarantor must sign a guarantee agreement before the tenants actually sign the AST and should be provided with a copy of the AST with the guarantee agreement.

      For the information of landlords here is a link to an excellent guarantor pack
      but unfortunately it costs £8 to download!

      Landlord Income Services Guarantor Pack A free guarantor application form is however available from LandlordZONE.

      As Wickerman has pointed out that if the Guarantor document is properly completed there is no need for the Guarantor to sign the AST as well - but there is no harm in the Guarantor in doing so.
      Vic - wicked landlord
      Any advice or suggestions given in my posts are intended for guidance only and not a substitute for completing full searches on this forum, having regard to the advice of others, or seeking appropriate professional opinion.
      Without Plain English Codes of Practice and easy to complete Prescribed Forms the current law is too complex and is thus neither fair to good tenants nor good landlords.

      Comment

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