Guarantor loans

Get personalised loan offers, even if you have a bad, or no, credit history

Representative 39.9% APR. ClearScore is a credit broker, not a lender, 18+, T&Cs apply.

Two ClearScore app screen mockups. One showing a score of 375 out of 1000 on a winter mountain range with offer promotion panels at the button the other shows a generic list of loan options in the app.

Get a guarantor loan that works for you and your credit score

Check your approval chances before you apply

Compare as many offers as you like without harming your credit score

Finding a guarantor loan is easy on ClearScore

1. Sign up

Get your credit score and report for free, forever. And log in to see your personalised offers.

2. Compare your offers

The offers you see are tailored to your score.

3. Apply for your loan

We’ll tell you what your approval chance is, so you can apply with confidence.

Everyone’s situation is different – we’ll help you find the loan tailored to your credit score.

Just tell us what you’re looking for and we’ll show you personalised offers for guarantor loans.

Getting a guarantor loan with a bad credit score

Guarantor loans are usually for people with a bad, or no, credit score.

A guarantor loan could help you access the money you need. That’s because someone else in the agreement – the guarantor – meets the lender’s criteria and is responsible for repaying the loan if you can’t.

Some lenders specialise in loans for people with bad credit, so comparing your offers is a great place to start.

Representative 39.9% APR.

Improve your credit score with ClearScore

See what’s impacting your score

Missed payments, new accounts, hard searches and more – we’ll give you a heads-up so you can understand what's making your score move.

Get easy tips to improve it

Every week, we’ll give you up to 10 insights to help you get to grips with your report. They’re filled with easy tips that could help improve your score and get it back on track.

Feel more confident about your credit choices

From lower interest rates to higher credit limits or loan amounts, a higher credit score can give you access to better offers in the future.

We’ll show you offers tailored to you – and order them based on what might be right for you.

Get your credit score for free, forever.

What's a guarantor loan?

It’s a type of unsecured loan

A guarantor loan is a type of unsecured loan. That means you’re not using something like your car or your home as collateral in case you can’t make the repayments.

Instead, the lender asks you to provide a guarantor.

The guarantor could become responsible for the loan

The guarantor should only have to step in and pay the loan, as a last resort, if you can’t make the repayments yourself.

They’re usually for people with a bad, or no, credit history

Guarantor loans are usually for people with a bad (or no) credit history. Lenders want to be sure the person they’re lending to can repay the money they owe, on time and in full.

So, they might still offer you a loan if someone else promises to pay it back, on your behalf, if you can’t make the repayments.

The application process

You can apply for a guarantor loan in the same way you’d apply for a standard loan.

Compare your offers

The offers you’ll see are tailored to you.

We’ll ask you for some information like how much you’d like to borrow and for how long, what you plan to use the loan for and what your total monthly spending is.

Apply for the loan

Your guarantor becomes a third party to the loan agreement.

The lender will usually ask you to give them some more information and then they’ll carry out a hard search on your credit history (and they’ll probably do a soft search on your guarantor).

Wait for the money to arrive

If you’re approved for the loan, the lender could send you the money within a few days. They might send it to your guarantor first. You’ll usually have a cooling-off period –  it's a good idea to check with the lender how long you'll have to change your mind.

Feel more confident about getting a ‘yes’

We’ll show you what the monthly repayments, annual percentage rate (APR), and your approval chances are before you apply. Helping you plan ahead and feel more confident about getting a ‘yes’.

Sign up – it’s free, forever

Join 19 million people worldwide and sign up today.

The benefits of guarantor loans

Guarantor loans can be a good option if you’re not eligible for a standard loan.

You could borrow the money you need, even if you have a bad, or no, credit history.

You might be able to borrow more money than you would without a guarantor.

You could use the loan to build your credit score, by paying it back responsibly.

The risks of guarantor loans

There are risks to think about when applying for a guarantor loan, for you and the guarantor.

The interest rate might be lower than a standard loan.

If you miss your repayments, the guarantor may have to take responsibility for the loan and pay back what you owe.

The guarantor’s credit history, score and report could be negatively impacted if the loan transfers to them.

Who can be a guarantor?

Guarantors need to meet the lender’s criteria. That usually means meeting minimum requirements like being over 21 years old, having a good credit history and being financially stable.

Usually, a guarantor is a relative or a close friend – that’s because there are risks to think about when guaranteeing someone else’s loan.

Learn more about who can be a guarantor.

What does a guarantor do?

A guarantor is a third party in a loan agreement – that means they agree to take on the loan if the borrower can’t make repayments on time and in full.

If that happens, the loan would transfer to the guarantor’s credit report. That can impact future applications for credit – because lenders will look at someone’s full credit history and see what their expenses are.

Once a guarantor is added to a loan agreement, they can’t be removed until the loan is paid back in full.

Two people having a conversation. They both have mobile phones and one of them is smiling.

Alternatives to guarantor loans

There are some other options out there if you’re not sure a guarantor loan is right for you.

Credit Unions

Credit Unions are not-for-profit. There’s a cap on the amount of interest a credit union can charge (usually less than 50% APR). You need to meet their criteria – like living and working in the area. So, if there’s one near you, you could see if they’d be able to offer you a loan.

Credit builder cards

Credit builder cards typically have high interest rates and lower credit limits than other cards. But, you could use it to improve your credit score – because a better credit score could mean better offers.

Secured loans

A secured loan is usually for homeowners – you use your home as security to get a large amount of money. If you can’t make the repayments, you risk losing your home.

Bad credit loans

Some lenders specialise in loans for people with a bad credit score or history – the interest rates might be higher than normal but they can sometimes help you build your credit score if you make the repayments on time and in full.

Short-term loans

A short-term loan is usually for a smaller amount of money and is paid back within a year. They tend to be for unexpected expenses.

Payday loans

A payday loan is a short-term loan designed to help you cover your expenses while you wait for your next payslip. These can be risky because they usually come with high interest rates and late fees.

Frequently asked questions

Other types of available loans

There are lots of loans out there – it’s important to find the right one for you.

Debt Consolidation Loans

Using a debt consolidation loan to pay off your current debt could help you focus on one, more manageable payment.

Loans for bad credit

Loans for bad credit are designed for people who have a bad credit score or a poor repayment history, but these loans can come with high interest rates.

Loans for People on Benefits

You could still get a loan if you’re on benefits. Some lenders specialise in loans for people on benefits, or with a bad, no, credit history.

Personal Loans

personal loan – also called an unsecured loan – is a one-off sum of money that you pay back over an agreed term (number of months).

Secured Loans

secured loan is usually for homeowners – you use your home as security to get a large amount of money. If you can’t make the repayments, you risk losing your home.

Car Finance Loan

With a car finance loan, there are a few different ways to pay for a new car, like UPL or hire purchase.