What is a Guarantor?
A Guarantor is an individual providing the equity in their property as additional security if the borrower defaults under the terms of the loan contract.
The guarantor makes a promise or guarantee that if the borrower defaults on their loan, the guarantor will pay off the debt owed to the lender.
A common example is a parent acting as a Guarantor for their child’s property.
Independent Legal Advice
It is a common requirement of banks and financial institutions that a Guarantor get independent legal advice and obtain a Certificate of Independent Legal Advice from a lawyer before they sign a Guarantee regarding a home loan. This is to ensure that the Guarantor understands and is aware of their obligations.
At Castro Legal, we can review your guarantee documents and provide you with advice on the legal implications and your obligations as a Guarantor, and if we are satisfied that you understand the documents, we will provide you with a Certificate of Independent Legal Advice.
Castro Legal generally charge a fixed fee for providing a Certificate of Independent Legal Advice. If the advice is over and beyond the certificate required, an additional fee will incur.
Contact us now to make an appointment or speak to a lawyer.