Compare Non Homeowner Guarantor Loans
- Guarantor loans can allow borrowers with poor credit ratings to get a loan
- Many lenders will require a UK homeowner act as your guarantor, however there are options if your guarantor is a non-homeowner or tenant
- Compare loans available to non-homeowner guarantors using the table below
As a result of Coronavirus (Covid-19) some loan providers have put lending restrictions in place or temporarily withdrawn their products from comparison sites and/or the wider market, therefore you may see fewer providers than normal.
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![Buddy Guarantor Loan logo]()
Buddy Guarantor Loan
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Representative APR
49.9% APR
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Available Amounts
£1,000 to £10,000
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Min / Max Terms
1 to 5 years
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Guarantor Type
Homeowner or Tenant
Guarantor Criteria
- Must be aged 18-75
- Must be a UK resident
- Must not be on an active bankruptcy, IVA or equivalent
- Guarantor does not need to own a home
Borrower Criteria
- Must be aged 18-75
- Must be a UK resident
- Must have a good credit history
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Representative APR
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![TrustTwo Guarantor Loan logo]()
TrustTwo Guarantor Loan
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Representative APR
49.74% APR
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Available Amounts
£1,000 to £15,000
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Min / Max Terms
1 to 5 years
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Guarantor Type
Tenant or living with parent
Guarantor Criteria
- Guarantor can be tenant or living with parents
- Must be aged 25 - 74
- Must have a good credit history
- Spouses or partners will not be accepted
Borrower Criteria
- Must be aged 21 or over
- Must be employed and have a minimum income after tax of £1,000 pcm (not furloughed)
- Must not be declared bankrupt or in IVA or debt management plan
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Representative APR
Our comparison service features a selection of providers from whom we receive commission. This table is initially ordered according to our commercial arrangements. You can use the options above the table to order it according to various criteria.
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Non-Homeowner Guarantor Loans FAQ
What is a non-homeowner guarantor loan?
Non-homeowner guarantor loans are available for individuals who wish to borrow and also wish to nominate a guarantor, without either party owning property. Some lenders are often willing to provide such loans to borrowers, even if they or their guarantor doesn’t own their own home. However, the terms of such a loan may differ greatly from a guarantor loan where either the borrower or their guarantor own property.
Why might someone need a non-homeowner guarantor loan?
If you have decided that a guarantor loan is a good option for you, you will need to consider the status of the person you wish to nominate as your guarantor. If this individual also doesn’t own their own home, a non-homeowner guarantor loan may be a desirable option. However, if you are able to find a guarantor who owns their own home then this may open up for favourable rates to you.
How much will a lender let me borrow for a non-homeowner guarantor loan and for how long?
Non-homeowner guarantor loans typically let you borrow as little as £1,000 to as much as £5,000 or so, but this varies between providers. Some may offer significantly higher or have different lending criteria allowing you to borrow greater amounts. Non-homeowner loans typically last no more than 5 years.
What do non-homeowner guarantor loans expect from a guarantor?
The guarantor is only required to take action if the borrower proves unable to meet their payments. The guarantor is generally expected to be in full-time work and at least 18 years old with no financial ties to you. Check with your chosen lender first about the specific expectations for your guarantor before accepting an offer, as these may differ between lenders
Do credit scores matter when asking for a non-homeowner guarantor loan?
Lenders do typically expect guarantors to have a good credit score to be eligible for a non-homeowner guarantor loan. Without collateral, the guarantor is the last resort, and your lender will want to have a guarantor who can prove that they can meet loan payments.
Does a guarantor always need to be a homeowner?
Some lenders are willing to provide non-homeowner guarantor loans, even if the guarantor doesn’t own their own home. As the loan is not secured, their possession or lack of property isn’t what will ultimately be required, if the guarantor must meet repayment on your behalf. However, being a homeowner represents an element of financial stability to a lender.
Isn’t a non-homeowner guarantor loan just a regular unsecured loan?
They may seem similar, as they don’t require collateral. However, the two differ, if a borrower is unable to repay. Under a standard unsecured loan, the borrower is always liable, but any form of guarantor loan gives the guarantors the responsibility if the borrower fails to repay.
Can a spouse be a guarantor for a non-homeowner guarantor loan?
A spouse can be your guarantor on a non-homeowner guarantor loan, but your lender will need to be assured that they have a separate financial set-up, such as their own bank account. If you share a bank account with your spouse, lenders will assume your spouse is simply borrowing the loan with you, and won’t deem them a suitable guarantor.
How do I know a non-homeowner guarantor loan is right for me?
Before taking out the non-homeowner guarantor loan, you should make sure you can repay it personally in the first place. When selecting a guarantor, you should aim to seek someone who is highly likely to be unable to repay if they should have to, and someone with a strong credit history.
