You signed a personal loan guarantee for a friend, here's what happens if they default
TIMESOFINDIA.COM / May 18, 2026, 12:32 (IST)
Becoming a loan guarantor in India can be a double-edged sword. If the borrower defaults, you could be on the hook for the full amount, which may seriously affect your credit rating and future financial opportunities. Additionally, pulling out of this arrangement isn’t a simple task; it often requires the borrower’s involvement or specific bank permissions.