Becoming a Guarantor

What this means for you and what you need to do next

If you have been asked to be a Guarantor you are probably a parent or close relative/friend of a student. 

A guarantor is someone who agrees to pay for a tenant's rent (and potentially other charges) if they don't/can't pay it. 

To be a Guarantor you need to be a UK homeowner (either on your own or with other parties). We're sorry, but if you rent a house, you're not eligible to be a guarantor. 

If you cannot be a guarantor, there is an option to use a company called Housing Hand, you can have a look at what they do and how it works via their website http://www.housinghand.co.uk/

As the Guarantor, you will be asked to sign a legally binding contract called a Guarantor Agreement. Please take a look at our Sample Guarantor Contract.

If you sign this agreement you are:

  • required to cover all rent, bills and charges incurred during the tenancy should the tenant be unable to do so.
  • the Guarantor for the entire time the agreement is in effect - even if the tenancy is extended beyond the standard contract length

What happens next?

  • The tenant tells CODE you are willing to act as the Guarantor and will provide your contact details.
  • The CODE Team will check you are a UK homeowner and if yes, email the Guarantor Agreement document for you to sign. We ask you send this back, along with a copy of a photo ID i.e. passport or driving licence
  • Full details of what to do will be provided on the Guarantor email. It is very important you read this and follow instructions exactly. If you do not, it is likely your documents will be rejected.

If your Guarantor Agreement has been rejected

Occasionally, we may need to ask you to complete the Guarantor Agreement again. Please do not be offended if we need to do this.

The main reason(s) your Guarantor Agreement may be rejected is because: 

  • the signature does not match exactly how it appears on the ID.
  • not all of the homeowners have accepted the guarantor status - if more than one person owns the property then all owners must all sign
    Because this is a legal requirement, if there is more than one owner we cannot accept just one signature, there are no exceptions to this.
  • the document has been edited or doctored in any way - any changes or corrections or updates must be sent through to CODE in order for us to change.
  • the document has been printed over two pages. Please ensure it fits on one page. Please contact us if you have any difficulties doing this.

Why have you rejected my signature?

Our team will check your ID and signature. When carrying out this process they will be:

  • Checking the signature matches the name of the authorized signee
  • Checking the writing style of the signature is the same. This will include looking for characteristics that can be seen by the human eye. 
    Namely:
    1) geometric shapes (e.g. the shape of circles, swirls or ovals)
    2) fragments (e.g. lines or extensions around normal letters)
    3) trajectories (e.g. sloping lines or upward/downward strokes)

You may believe you sign documents the same all the time but in reality the time of day, tiredness and different surfaces (on a desk vs. on a notepad for example) can all change your signature. Speed can also be a factor - some people write “slower” and more deliberately when signing important documents.

As such, our team may ask you to complete your signature again to reach an acceptable match. Please remember if we ask you to do this, it is for your own protection and to reduce fraud.

What if I change my mind

If you have signed a Guarantor agreement and no longer wish to be the guarantor for the tenancy, then the tenant must find someone else to take over the Guarantor's agreement. As the current guarantor, you will still be liable for all payments until this has been done. This is whether or not the person has moved into the room.