A non-homeowner guarantor loan is simply a loan that you can take out even if you or your guarantor do not own a property.
Some types of loans from high street lenders require a property to be used as collateral. These loans can are called "secured loans" because they are secured against a property. In contrast, guarantor loans from Amigo are available to non-homeowners. Therefore, they are classified as "unsecured loans" because the loan is not secured against a property.
With home ownership at its lowest level since the Eighties, many of our customers do not own their own home. But here at Amigo, we believe in trust and relationships, so we think that responsible and trustworthy non-homeowners should have the same access to loans as people who own property. As long as you are between age 18-75, not currently bankrupt, on an IVA (or similar), can afford the repayments and have a guarantor who agrees to make payments if you do not, you could get an Amigo loan
Yes, neither you nor your guarantor needs to own your home to get a guarantor loan from Amigo. However, your guarantor may have a stronger chance of being accepted if they do own their own home.
Your guarantor could be a friend, family member, partner, work colleague or a fellow tenant who you share a rented home with. When you are choosing your guarantor, please bear in mind that they should be aged between 18-75 and have a good credit history, especially if they do not own their own home. As your guarantor must make the repayments if you do not, they must also be able to afford the payments.
"Tenant loans" is an alternative name for a non-homeowner loan, where you and/or the guarantor for your loan aren’t required to own a property. You could borrow from Amigo if you rent your home or even if you live with your parents.
Non-homeowner and tenant guarantor loans are an extremely flexible borrowing option with no upfront fees and repayments that can be spread out over a period of time that suits your budget.