A person who pledges to cover a borrower’s debt in the event that the borrower fails to meet their loan obligations and defaults. The guarantor takes on the responsibility of ensuring the loan is repaid if the borrower cannot fulfill their payment commitments. Lenders often require a guarantor, especially in cases where the borrower’s creditworthiness or financial situation is not strong enough to secure the loan on their own. The guarantor’s role is to provide additional assurance to the lender that the loan will be repaid, reducing the lender’s risk in the lending arrangement.
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