How much can I borrow from a guarantor lender?

We feature a list of guarantor lenders on our website that allow you to borrow between £500 to £15,000 and repay in monthly instalments for up to 5 years (60 months).

Most applicants will try borrow as much as they can, however, the lender will need to run a number of checks to assess whether you are eligible for a loan and the right amount for you to borrow.

Guarantor loans are typically used for emergency purposes or to help those with bad credit to access the funds they need with the help of a guarantor. By repaying in instalments over a number of years, the borrower has the flexibility to repay their loan over a longer period of time and get their finances back on track. Such loans are not used for material or frivolous spending such as holidays, presents, luxury cars or shopping sprees.

What impacts how much you can borrow?

By filling in the application form and carrying out further checks, the lender will use different measures to get an idea of how much you can borrow.


The lender needs to assess how much the borrower can afford to repay. So although the applicant may wish to borrow the maximum £15,000 available, the lender will need to assess their monthly income and expenses to determine whether they can afford it. If an applicant is allowed to borrow beyond their means, it may lead to financial difficulty and cause the person to fall into debt.

So the applicant will be required to provide information of their employment status, their monthly income and expenses such as food, rent, travel and utilities. Most customers will be required to send in proof of their salary and outgoings with a pay-slip or bank statement. This can usually be sent to the guarantor lender by post, email or live chat.

Effective affordability measures will make the lender adjust the amount the applicant has asked to borrow. So if the individual has asked to borrow £15,000 but after some affordability checks, the maximum they can borrow is £5,000 – this means that the lender has carried out sufficient checks to match how much they can afford.

Credit score 

A customers’ credit score is obtained using a credit reference agency such as Call Credit or Experian. By accessing this information, the lender is able to get an idea of how well they have paid other types of loans and credit in the past and whether they have any outstanding debt.

Those with a poor credit score or no credit score are considered a higher risk of default and therefore they will be able to borrow less or not at all. However, having a good credit score means that you have a good track record of repaying loans on time so you may be able to borrow more as a result.

But whether or not your guarantor has a good credit score is always crucial, as explained below.

Your guarantor  

The credit rating of your guarantor is very important when determining how much you can borrow. The lender considers that if the person who is willing to be your guarantor has a good credit score, it means that if the main borrower defaults, they should be able to retrieve their funds from the guarantor. This is because having a good credit score is achieved by repaying several loans or forms of credit on time and is a huge trust signal for lenders.

Although several of the lenders we feature offer tenant guarantor loans, the ideal guarantor to have is someone who is a homeowner. This is because in order to get a mortgage, you need to undergo rigorous checks from a mortgage advisor such as providing several months worth of pay-slips and bank statements. So in order to be a homeowner, it indicates you must have a pretty good credit history.

In addition, guarantor lenders are more likely to approve homeowner guarantors because they consider that they must have a steady employment status and receive a regular income each month to pay for a mortgage.

So provided that the guarantor has a strong credit score, employment status and income, it will maximize your chances of borrowing the amount you want.

Length of the loan 

The loan duration will also impact how much you can borrow. Naturally, the longer your loan period, the more you may be able to borrow because you are stretching repayment over a longer period of time.

If you wanted to borrow £15,000 over one year, this might put pressure on your finances to repay the loan and interest in such a short space of time. So the longer the loan amount is spread over, the more you can potentially borrow.

Repeat customers 

Whether or not you are a repeat customer with that specific lender will also influence the amount you can borrow. The lender will be able to see whether or not you have had a loan with them before and if you paid it on time. If you did pay on time, you may be able to borrow more.

Most guarantor lenders have a limit for first-time customers but this can increase once you have repaid your first loan. So provided that you paid your first loan and have passed the sufficient credit, affordability and guarantor checks, you may be able to borrow more than before.

Depends on the lender’s criteria 

Whilst we have highlighted the main factors that affect the amount you can borrow, every guarantor lender we feature has their own specific criteria when underwriting a loan.

Once you have compared the different lenders on our site, be sure to look around their website at the eligibility criteria and terms and conditions to get a better idea of their requirements. A loan can never be guaranteed and will always be subject to the lender’s individual checks.