When guarantor doesn't want to be a guarantor any longer on a rental/tenancy agreement.

[EchoFoxtrot]

Hi, not sure where to post this exactly but thought I'd try here.
I've been renting my lovely house for 2 years and due to renew my tenancy soon. When I was offered the property, it was on the condition of providing a guarantor as I failed the referencing due to poor credit history as well as this I had no rental history as I had never rented before. A very very good friend of mine agreed to be my guarantor and got me out of of the awful situation I was previously, I pretty much owe them everything as without them I wouldn't have got this property. I've since paid my rent on time every single month and have incurred no issues with my landlord or agent. By all accounts, my landlord is very happy as I'm very respectful of the property and of course pay my rent on time. My guarantor is asked to renew the guarantee agreement every time I renew my tenancy. I suspect at some point they will not want to be held against this forever. What would I need to do to prove to my landlord I won't default on rent should this happen? I am fairly sure I'd still fail referencing if I went through this again as my credit hasn't sufficiently built up yet. Is there anything I can do or say in the mean time to ensure that I don't lose my home if my guarantor wants out? Thank you.

Hi OP. wanted to give you a landlord's perspective. Your landlord cannot get rent guarantee insurance without you passing the credit check, which is why they've insisted on the guarantee. (I am in the same boat).

My tenants have likewise paid their rent on time and in full but I will continue to insist on a guarantor until such time as they can pass the credit check. I have no choice.

I can totally understand your guarantor might not be up for this burden forever, but see it from your landlord's pov: if your guarantor is not willing to take the risk on you anymore, why should they?

My advice is to keep on your landlord and guarantor's good side. Reassure your guarantor you're grateful and this is only a formality because you won't let them down.

I think you can buy an insurance policy instead of having a guarantor.
housinghand.co.uk/uncategorized/rent-guarantor-vs-rental-guarantee-insurance/

I proving your credit history could take as long as five years depending on how bad is is and the reason
Not many landlords will accept poor credit history and no guarantor. Why would they take such a risk especially when the market is awash with potential tenants with impeccable references and credit history.

However, @EchoFoxtrot where you are coming from is admirable and yes your friend should be released from it. There are stories on here whereby years later it has come back to bite the guarantor

How much have you managed to improve your credit in the last 2 years? Maybe soon you'll be able to rent without needing your friend to sign.

I would never put my guarantor in a position where I would default on my rent. I'm a single parent and this is my daughters home so I wouldn't jeopardise that. My guarantor hasn't said anything yet, it's just one of those things that are ticking along and there hasn't been a need to think about it. I do understand from my landlords perspective and I'm quite sure I wouldn't pass the credit check part. One of my former exes got me into considerable debt which I got out of but it's ruined my credit rating.

is it due to the rent compared to your income?

No, my salary is over the amount of rent guarantee as is the guarantors. The reason I needed a guarantor was because I've never rented before and because I had poor credit. I've just checked my credit score and its gone up, it's 90 points away from fair.

great shouldnt be long until you are fine without one. fingers crossed.

I suggest you post on moneysavingexpert forum specifically asking for ways to improve your credit rating. There are often things you can do relatively easily (such as making sure that you are on the electoral role)

I've lived in numerous rentals over the best part of 30 years and I've never been able to without a guarantor. It has been nothing to do with my credit or wages afaik. They've always just insisted a property-owning guarantor. Maybe people are renting in a different area or have had a different experience but I thought that was just a standard (shitty) part of renting.

Op - my current landlord asked for a larger deposit when they decided at the last minute before moving day that my guarantor wasn't secure enough due to not owning property. Perhaps you could offer an extra month's deposit as an alternative to a guarantor on renewal?

At the end of the day, they already know you are a good tenant and won't want the empty weeks and bother of finding someone new if you say you don't think it is fair to ask for your guarantor to keep doing this favour.