Student guarantors

Hi again. We have 2 student applicants. Each gave a parent as guarantor. I has failed credit check as does not have permanent employment contract. The other parent has passed all checks and is happy to be guarantor for both student applicants his own daughter and for her partner. He has a high salary and is a house owner. We are minded to accept this but want a cast iron agreement. How can we ensure this? Is it enough to have an extra clause in the tenancy agreement or can we have an extra signed agreement as sole guarantor? Advice needed please!

You have the best result with that offer and dont need that, you just need to follow best practice on guarantor agreements. Failure to follow this is likely to render it unenforceable:

  1. Choose the right agreement. Some are badly worded. NRLA have some reasonable ones. Others may too.
  2. Make sure the agreement is a deed and executed as such with a witness who also signs and wet signatures.
  3. Make sure the guarantor has sight of both the guarantor and the tenancy agreements at least a week before signing and is encouraged to ask questions. Keep evidence.
  4. Encourage the guarantor to seek legal advice on the guarantor agreement and their position and give them time to do that. Keep evidence
  5. Ideally choose a contractual periodic tenancy model where you can specify a longer initial term and then allow it to remain periodic. Ie, don’t renew the TA. That way there will be more chance that the guarantee will last beyond the first few months.

There are probably other things I’ve forgotten that others may choose to add.