UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                   FORM 10-QSB

                   Quarterly Report Under Section 13 or 15(d)
                     of the Securities Exchange Act of 1934



For Quarter Ended                               Commission File No. 000-25905-01
September 30, 2001


                            GUARANTY CAPITAL TRUST I


            Delaware                                              54-6422391
(State or Other Jurisdiction of                                (I.R.S. Employer
Incorporation or Organization)                               Identification No.)



                1658 State Farm Blvd., Charlottesville, VA 22911
                    (Address of Principal Executive Offices)


                                 (434) 970-1100
                (Issuer's Telephone Number, Including Area Code)

         Check whether the issuer (1) filed all reports  required to be filed by
Section 13 or 15(d) of the  Exchange  Act during the past 12 months (or for such
shorter period that the  registrant was required to file such reports),  and (2)
has been subject to such filing  requirements  for the past 90 days.
                                                                  Yes _X_ No ___

         As of November 1, 2001,  the  Registrant had 8,537 shares of its Common
Stock outstanding.

         * This Form 10-QSB also covers 276,000 shares of the Registrant's $1.75
Convertible Preferred Securities and the Guarantee with respect thereto.


<PAGE>


                                     PART I
                              FINANCIAL INFORMATION


Item 1.      Financial Statements.   (See Note Below)

Item 2.      Management's Discussion and Analysis of Financial Condition and
             Results of Operations.

         Guaranty  Capital Trust I (the "Trust") is a statutory  business  trust
formed under the Delaware  Business  Trust Act, as amended,  pursuant to a trust
agreement,  as amended  by an amended  and  restated  declaration  of trust (the
"Declaration"),  and the  filing of a  certificate  of trust  with the  Delaware
Secretary  of State on November 21,  1997.  The Trust  exists for the  exclusive
purposes  of (i)  issuing  and  selling  trust  securities  consisting  of $1.75
Convertible  Preferred  Securities  (the  "Preferred   Securities")  and  common
securities (the "Common Securities," and together with the Preferred Securities,
the "Trust Securities"),  representing  undivided beneficial ownership interests
in the assets of the Trust,  (ii)  investing  the proceeds from such issuance in
Junior Subordinated Debt Securities (the "Junior  Subordinated Debt Securities")
of Guaranty Financial  Corporation,  a Virginia corporation (the "Corporation"),
and (iii)  engaging  in only those  other  activities  necessary,  advisable  or
incidental thereto.  The Trust's sole assets are $7,113,425  principal amount of
Junior Subordinated Debt Securities,  and payments under the Junior Subordinated
Debt  Securities  are the sole revenues of the Trust.  Ownership of the Trust is
evidenced by $6,900,000 aggregate liquidation amount of Preferred Securities and
by $213,425 aggregate liquidation amount of Common Securities,  all of which are
held by the Corporation, as of May 5, 1998. The Trust makes distributions on the
Trust Securities to the extent it receives distributions from the Corporation on
the Junior  Subordinated Debt Securities.  Distributions on the Trust Securities
are  guaranteed  by the  Corporation,  but only to the extent that the Trust has
available  funds  to  pay  such   distributions.   Each  Preferred  Security  is
convertible into a number of shares of the Corporation's common stock, $1.25 par
value,  which trades on the Nasdaq  National  Market under the symbol "GSLC," at
the  option  of the  holder  at any time  prior to  repayment  of the  Preferred
Security  either at  redemption  or maturity,  and subject to the  Corporation's
right to terminate the convertibility of the Preferred Securities.

         On May 5,  1998,  the Trust  invested  the  proceeds  from the sale and
issuance of the Trust Securities in the Junior Subordinated Debt Securities. The
Trust's ability to pay distributions to the holders of the Preferred  Securities
is dependent on its receipt of  distributions  on the Junior  Subordinated  Debt
Securities  from the  Corporation.  Therefore,  upon the receipt by the Trust of
payments from the Corporation,  the Trust will pass through such payments to the
holders of the Preferred Securities.





                                       2
<PAGE>

         In December 1999, the Corporation  repurchased  33,000 of the Preferred
Securities.  Additionally,  the  Corporation  repurchased  2,500  shares  of the
Preferred Securities in January 2000.

         In  October  2000,  both  the  Corporation  and its  primary  operating
subsidiary,  Guaranty  Bank,  entered into a written  agreement with the Federal
Reserve Bank of Richmond ("FRB") and the Bureau of Financial Institutions of the
Commonwealth  of Virginia  ("BFI").  The  agreement  provides  that  neither the
Corporation  nor Guaranty Bank shall  declare or pay any  dividends  without the
prior  written  approval of the FRB and the BFI.  Dividend  income from Guaranty
Bank is the sole source of revenue of the Corporation.  The interest payments on
the Junior  Subordinated Debt Securities are the sole revenues of the Trust. The
Trust makes distributions on the Trust Securities to the extent that it receives
distributions from the Corporation on the Junior Subordinated Debt Securities.

         On October 31, 2001,  Guaranty Bank  requested  approval by the FRB and
the BFI to pay  dividends to the  Corporation  in an amount  sufficient  for the
Corporation   to  make  its  December  2001  interest   payment  on  the  Junior
Subordinated  Debt Securities.  The FRB and the BFI have up to 30 days to review
the request.  No assurances can be given that the request will be approved.  The
Corporation  does not have the  resources  to make the  interest  payment on the
Junior  Subordinated  Debt  Securities  unless it  receives  the  dividend  from
Guaranty  Bank. The FRB and the BFI have approved all prior  quarterly  dividend
payment requests by Guaranty Bank since the written agreement was executed.


         NOTE:  Because the Trust is a special purpose  financing entity with no
separate  business  operations  and the only  assets of the Trust are the Junior
Subordinated  Debt  Securities,  the  Trust  does  not  believe  that  financial
statements for the Trust are meaningful.  Accordingly,  financial statements and
related  financial  information have not been included in this Form 10-QSB.  For
further information  concerning the Corporation,  including financial statements
and other financial  information,  see the  Corporation's  Annual Report on Form
10-KSB for the year ended  December 31, 2000,  and the  Corporation's  Quarterly
Reports on Form 10-QSB for the quarters ended March 31, 2001,  June 30, 2001 and
September 30, 2001, as filed with the Securities and Exchange Commission, copies
of which may be obtained from the Corporate Secretary of the Corporation at 1658
State Farm Boulevard, Charlottesville, Virginia 22911.






                                       3
<PAGE>

                                     PART II
                                OTHER INFORMATION

Item 1.      Legal Proceedings.

             None.

Item 2.      Changes in Securities and Use of Proceeds.

             None.

Item 3.      Defaults Upon Senior Securities.

             None.

Item 4.      Submission of Matters to a Vote of Security Holders.

             None.

Item 5.      Other Information.

             None.

Item 6.      Exhibits and Reports on Form 8-K.

             (a)      Exhibits.

                      None.

             (b)      Reports on Form 8-K.

                      None.





                                       4
<PAGE>

                                   SIGNATURES

         Pursuant to the  requirements  of the  Securities  and  Exchange Act of
1934,  the  registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.

                                      GUARANTY CAPITAL TRUST I
                                      (Registrant)



Date:    November 14, 2001            /s/ William E. Doyle, Jr.
                                      ------------------------------------------
                                      Name: William E. Doyle, Jr.
                                      Title: Administrative Trustee
                                             (as principal executive officer and
                                             on behalf of the Registrant)



Date:    November 14, 2001            /s/ Thomas F. Crump
                                      ------------------------------------------
                                      Name: Thomas F. Crump
                                      Title: Administrative Trustee
                                             (as principal financial officer)