J Walk Blog Finance Coronavirus, worried about your Guarantee with Amigo Loans? Finance / By admin Coronavirus, worried about your guarantee with Amigo? Do you have a guarantee in place with Amigo? As a result of the coronavirus and the considerable financial impact we are seeing on the economy and people’s purses both as an immediate effect and as the lockdown slackens and the true impact on the economy is felt it is essential any liabilities that could cause you financial hardship are reviewed. You may have provided a financial lifeline to a close friend or relative giving the guarantee for a guarantor loan. This decision would have been taken before the coronavirus hit and the world of finance both in general and individually has been turned on its head. Why should you be worried about your guarantee with Amigo? If you do have a guarantee in place it is essential to contact the friend or family member you have guaranteed the finances of in relation to this loan, to discuss their personal financial situation as a result of the coronavirus. Have they been furloughed? Have they a safe job? What are their general prospects looking like coming out of the coronavirus lockdown? All of these questions and more would need to be answered so that you can understand the potential liability that you face should the borrowers financial predicament be negatively affected by the coronavirus. In addition the lockdown could well have affected your own personal finances where you too could be at risk of losing a business or employment. Everything is just so uncertain. Can I get a Refund from Amigo If you have had a loan with Amigo loans you maybe able to claim an Amigo Loans Refund What is the guarantor loan? A guarantor loan is borrowing to an individual who otherwise would not be able to be lent to due to either poor credit rating or lack of ability to repay debt via normal credit scoring guidelines. The individual then seeks protection from a friend or family member to guarantee the loan so in the event of default the guarantor then repays the lender. The loan itself is likely to have a higher rate of interest due to the type of borrower despite the lender having the added protection of a guarantee in place. What can you do if you have a guarantor loan in place? If you have a guarantee in place against a loan with Amigo it is always worth challenging them as to the validity of the facility and whether they addressed on application of the borrowing the borrowers own personal abilities to repay the debt. In short they have to have established that the borrowing was responsible. If you feel in any way concerned regarding the process of how the lending was arranged you can make a complaint to the firm in the first instance where they have eight weeks to reply. Following which if you are unhappy with their response you can take the complaint further through to the Financial Ombudsman for review. We work for clients in order to deal with the process from the moment of your concern through to the ombudsman’s review using our previous experience in banking and lending along with our experience in dealing with complaints on behalf of clients all of which span back to the late 80s. Why are guarantor loans so risky? Guarantor loans by companies susch as Amigo Loans, George Banco and Bamboo Loans are notoriously risky for those providing guarantees. They are as individuals taking on all of the responsibility for the debt with no benefits whatsoever. The coronavirus is not to have financial positions of those who have taken out loans. It’s not going to help firms who provided the loans. As such the onus of responsibility would therefore be focused on any recoveries being made via the guarantor. Can I make a Claim? Yes you can make a claim for mis-sold guarantor loans as well as a PCP claim and a claim for packaged bank account mis-selling. Recent Posts Importance of Fixing a Leaky Roof Do I Repair my Broken Washing Machine? Types of Paid Employment Leave Stainless Steel Cookware the Safe and Durable Option Coronavirus, worried about your Guarantee with Amigo Loans? Categories Finance Home Work https://jo.my/gdrlinks Copyright © 2021 J Walk Blog | Powered by Astra WordPress Theme