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rainbowcuddles
13-09-2006, 11:48 AM
I have a tenant who was on a 6month contract with guarantor. She wishes to renew,do I create a new tenancy for her and the guarantor? Or just her? If its only in her name will this delete the guarantor?

rainbowcuddles
13-09-2006, 13:30 PM
anyone help? ive been looking through previous threads, cant find anything?

Poppy
13-09-2006, 13:58 PM
If you wish to sign a new agreement with the tenant, then you will need a new agreement with a guarantor. The previous guarantor agreement expired at the end of the fixed term.

Why do you still require a guarantor?

rainbowcuddles
13-09-2006, 15:33 PM
good question... dont know really, the tenant is still in the same position as she was 6months ago so I presume thats why

johnboy
13-09-2006, 17:18 PM
Just because they have been a good tenant up to now does`nt mean they will not default on the rent in the future.

Ericthelobster
13-09-2006, 19:50 PM
If you wish to sign a new agreement with the tenant, then you will need a new agreement with a guarantor. The previous guarantor agreement expired at the end of the fixed term.Surely the guarantor agreement lasts (or should do, if worded properly) for as long as the tenant remains in the property on the original AST - ie, the simplest solution would be to let the original AST go periodic and not issue a new one -then the guarantor remains liable. Isn't that right?

Worldlife
13-09-2006, 22:51 PM
Agree with you Eric

MrShed
14-09-2006, 06:02 AM
Surely it would depend upon the wording of the guarantor agreement?

rainbowcuddles
14-09-2006, 08:54 AM
Surely it would depend upon the wording of the guarantor agreement?

There is no guarantor agreement, just a signed and witnessed signature on the back page of the AST

Poppy
14-09-2006, 09:11 AM
Are there any explicit clauses indicating that the "guarantor" would pay up in the event of problems and that they signed their name to?

Surrey
14-09-2006, 10:07 AM
There is no guarantor agreement, just a signed and witnessed signature on the back page of the AST

So what does that signature mean? Unless there is a clear statement explaining what the signatory has signed up for, it's as much use as if Mickey Mouse had signed it.
(Actually Mickey Mouse'd probably be quite good as a guarantor, probably rolling in cash. Might be a problem with the courts recognising a mouse as valid though...);)

rainbowcuddles
14-09-2006, 11:31 AM
It doesn't say anything in the agreement about guarantors.. I have read alot of the posts on here and it says you need a seperate agreement...Ive had trouble before about it but luckily the guarantor payed up not really knowing..

can you believe an actual letting agents drafted this contract and guarantor stuff!!

rainbowcuddles
14-09-2006, 12:59 PM
its hard to renew contracts with guarantor agreements though. its fine when they sign up at the agency but what happens when you wish to renew? getting them all back together again is hard...ive decided to leave out the guarantor, just because it wasn't legal on the other one to start off with

MrShed
14-09-2006, 18:32 PM
Just to clarify the (probably) obvious: what you have currently is no guarantor, as there is nothing even close to anything tying the guarantor in.