It’s important to protect your investment by ensuring that your tenants are reliable and can pay their rent on time. One way to do this is by requiring a guarantor, who can provide an added layer of security in case the tenant is unable to meet their financial obligations. However, before you can accept a guarantor, it’s essential to understand the type of references required to ensure that they are financially stable and can cover any unpaid rent or damages. This guide will provide a detailed overview of the guarantor references needed and how to obtain them.

What is a Guarantor?

A guarantor is a person who agrees to take responsibility for a tenant’s financial obligations if they are unable to meet them. This can include paying rent, utility bills or covering any damages that may occur during the tenancy period. In most cases, a guarantor is a friend or family member of the tenant who has a stable financial standing and is willing to take on the financial responsibility.

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Why do you need a Guarantor?

As a landlord, it’s important to have a guarantor to provide added security in case the tenant is unable to pay their rent or for any damages. A guarantor can also help protect your investment and provide a sense of reassurance that the tenant can meet their financial obligations.

What Guarantor References are Needed?

Before you can accept a guarantor, it’s essential to ensure that they are financially stable and able to meet their obligations. The following references are required:

• Credit Check – A credit check is needed to determine if the guarantor has a good credit score and can manage their finances responsibly. This check should include details of any missed payments or outstanding debts.
• Employment Reference – An employment reference is required to verify that the guarantor is currently employed and earning a stable income. This reference should include details of their salary, job title, and length of employment.
• Landlord Reference – A landlord reference is needed to confirm that the guarantor has a good track record of paying rent on time and has no history of evictions or outstanding debts.

How to Obtain Guarantor References

To obtain the necessary guarantor references, you can use an online referencing agency or a letting agent. These services will handle the necessary checks and provide a report detailing the results. Alternatively, you can obtain the references yourself by contacting the guarantor’s employer and landlord directly.

FAQs about Guarantor References

1. Can a Guarantor be refused?

Yes, a guarantor can be refused if they fail any of the necessary checks or do not meet the required criteria.

2. Is a guarantor legally bound to pay?

Yes, a guarantor is legally bound to pay if the tenant is unable to meet their financial obligations.

3. Can a guarantor be held liable for damages?

Yes, a guarantor can be held liable for damages caused by the tenant during the tenancy period.

In conclusion, as a landlord it’s important to have a guarantor to provide added security and protect your investment. Before accepting a guarantor, it’s essential to ensure that they are financially stable and able to meet their obligations.

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