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Guarantor Loan

Simple, transparent finance designed around you.

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No impact to your credit score

Rates from 8.9% APR. Representative APR 16.9%

Representative example: borrowing £7,000 over 4 years with a representative APR of 16.9%, an annual interest rate of 16.9% (Fixed) and a deposit of £0.00 the amount payable would be £201.62 per month, with a total cost of credit of £2677.92 and a total amount payable of £9677.92. This is an example only, lender fees may apply. All finance subject to status.

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Vehicle Price:

£

0

Initial Payment (Deposit):

£

0

To Pay Over:

48

Months

Assuming your credit score is:

Best Available Rate

9.9%

Initial Borrowing

£0

Total Cost of Credit

£0

Total Amount Repayable

£0

48 Monthly

Payments of

£0

Rates from 8.9% APR. Representative APR 16.9%

Representative example: borrowing £7,000 over 4 years with a representative APR of 16.9%, an annual interest rate of 16.9% (Fixed) and a deposit of £0.00 the amount payable would be £201.62 per month, with a total cost of credit of £2677.92 and a total amount payable of £9677.92. This is an example only, lender fees may apply. All finance subject to status.

Guarantor Loans UK | Bad Credit & Same Day Payout

If you’re searching for the best guarantor loans UK has to offer, you’ve come to the right place. A guarantor loan can help you borrow money for car finance, everyday expenses, or larger purchases even if you’ve previously struggled with credit issues.

At Vizion Finance, we specialise in connecting borrowers with guarantor loan lenders and guarantor loan companies UK that may still consider applications from people with a guarantor loan bad credit history. Read on to learn what a guarantor loan is, how it works, and what requirements you and your guarantor need to meet.

What Is a Guarantor Loan?

A guarantor loan is a type of personal loan where a separate person usually a friend or family member agrees to guarantee the repayments should the borrower be unable to pay. This provides extra security for the lender and can make it easier for borrowers with limited or poor credit history to be accepted.
Many guarantor loan lenders view this as lower-risk lending because they have two parties responsible for the debt.

How Does a Guarantor Loan Work?

Here's the typical process:
  • You apply for a loan often with a guarantor loan direct lender or through a broker like Vizion Finance.
  • Your guarantor applies too they must meet specific eligibility criteria.
  • Both applications are checked including income and affordability.
  • Loan is approved and paid some lenders even offer guarantor loans same day payout if all checks are completed quickly.
  • You make monthly repayments if you miss payments, your guarantor is legally responsible for covering them.
You'll also find tools like a guarantor loan calculator useful for estimating your monthly payments and total cost before you apply.

Do Guarantor Loans Work With Bad Credit?

Yes, one of the main reasons people seek this type of loan is because their credit history might not meet standard lending criteria. A guarantor with a solid credit profile give the lender extra reassurance, helping you access funds even with previous credit issues.

However, this isn't a guarantee acceptance still depends on your overall circumstances and the guarantor's suitability.

Guarantor Loan Requirements

Both you (the borrower) and your guarantor must meet certain criteria:
These requirements protect both parties and help lendres feel confident in you application.
1

Borrower

Borrower must be:
  • UK resident
  • Aged 18 or over
  • Ability to afford monthly repayments
2

Guarantor

Guarantor must be:
  • Usually a UK resident
  • Typically aged 21+ (varies by lender)
  • Strong credit history
  • Stable income
  • Some lenders prefer guarantors who are homeowners

Guarantor Loans UK Direct Lenders

Some lenders specialise in guarantor loans and may offer additional benefits, such as:
  • Competitive rates
  • Flexible minimum and maximum loan amounts
  • Simple online applications
  • Same day payout options when approved
At Vizion Finance, we can help match you with reputable guarantor loan direct lenders who align with your needs.

Are There No Credit Check Guarantor Loans?

Strictly speaking, no reputable lenders will always carry out some level of credit or afforability check. However, guarantor loans typically place less emphasis on past bad credit and more on your guarantor's ability to cover the loan of needed.
Be cautious about any lender claiming no credit check and no affordability assessment this could signal a high-risk or unscrupulous provider.

Finding the Best Guarantor Loans UK Has to Offer

When comparing options, consider:
  • Loan amount and term flexibility
  • Monthly repayment level (use a guarantor loan calculator)
  • Fees and interest rates
  • Reputation of guarantor loan companies UK
  • Same-day payout availability
Vizion Finance can help you navigate these factors and identify competitive guarantor loan deals tailored to you situation.

Frequently Asked Questions

A guarantor loan is a personal loan where another person agrees to cover you repayments if you're unable to lowering risk for the lender.

Most lenders require guarantors to be: - Aged 21-75 (some up to 80) - UK resident with good credit history - Earning £15,000+ annually (some accept lower) - Typically family members (parents most common) - Some accept close friends with strong financials We have specialist lenders who accept: - Tenant guarantors (not just homeowners) - Retired guarantors with pension income - Self-employed guarantors with 2+ years accounts - Non-family guarantors with long-standing relationships

Yes. These loans are often used by people with poor credit because the guarantor's credit-worthiness helps secure approval.

The guarantor becomes legally obligated to: 1. Make payments if the borrower defaults 2. Cover any shortfall if the car is repossessed and sold 3. Potentially pay collection/legal costs 4. Have their credit file affected by the agreement Guarantor obligations typically last the entire loan term unless: - The lender agrees to release them (rare before term end) - The loan is refinanced in the borrower's sole name - The borrower passes away (varies by lender) We ensure all guarantors receive independent legal advice about these responsibilities.

Lenders will usually perform checks, but having a strong guarantor significantly increases your changes of acceptance.

Some lenders allow guarantor release after: - 12-24 months of on-time payments - The borrower's credit score improves significantly - The borrower can prove increased income The process typically requires: 1. Formal application to lender 2. Credit check on primary borrower 3. Sometimes proof of increased income 4. Possible fee (£50-150) Even after release, the guarantor remains liable for any missed payments that occurred before release.

If both borrower and guarantor default: 1. The lender may repossess the car 2. Sell it at auction (often below market value) 3. Pursue both parties for any shortfall 4. May register CCJs if debts remain unpaid To avoid this: - Contact the lender immediately if struggling - Request payment holidays or reduced payments - Consider voluntary termination if applicable - Explore debt advice services if serious difficulties We help clients in financial difficulty negotiate with lenders to find solutions.

Loan amounts vary by lender typically £500 up tp tens of thousands of pounds depending on your circumstances.

Generally, you guarantor must be a UK resident with a stable income and good credit histoy. Some direct lenders alos prefer guarantors who own property.

Some lenders offer guarantor loans same day payout if all checks and documentation are completed quickly.

No reputabel lender will offer a loan with zero credit or affordability checks, though guarantor loans place less emphasis on personal credit history.

With a guarantor loan, a third part is legally responsible if repayments are missed, helping people with bad or limited credit access borrowing they might otherwise not qualify for.
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How does Guarantor Loan work?

Here’s a quick example: Let’s say you want to buy a car worth £10,000 and want to pay it over 48 months. Your insurance, tax and maintenance for this new car would cost you £1000 per year. You want to own the car outright, so you take a personal loan for £14,000 from your lender. You and your third-party individual sign a 48-month contract at 8.9% APR to repay £348 each month. Your guarantor agrees to make the repayments in the event you are unable to. With the interest, the total amount you would end up paying will be £16,690. Your lender pays you the money directly, and you purchase the car from the dealer. As simple as that. You’ll need to provide comprehensive data for your guarantor: Name, address, contact number Employment history Credit rating History of loan and debt management Details on any other guarantor loan Real estate or car in possession

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Email:sales@vizionfinance.co.uk
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Vizion Autos Ltd t/a Vizion finance is an authorised credit broker, not a lender, registered in England, company registration number 12299957. We are authorised and regulated by the Financial Conduct Authority under reference number 920157. The registered office address Unit 204 Brooker Road, M25 Business Centre, Waltham Abbey, England, EN9 1JH.We can introduce you to a limited number of finance providers on our panel depending on your credit rating and affordability. By introducing your details, we receive a commission from our finance partners/lenders. This is a fixed percentage or figure and may vary by lender/partner, however this will never impact the rate or acceptance you are provided. Further information can be supplied on request. There is no fee charged by us for arranging the car financing or car warranty, but some lenders may charge a fee. All finance is subject to status and income. Written quotations are available on request. ICO Number ZA798078.
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Unit 204 Brooker Road, M25 Business Centre, Waltham Abbey, England, EN9 1JH
sales@vizionfinance.co.uk
+0203 322 1905