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Guarantor
GuarantorA person who guarantees to pay for someone else's debt if he or she should default on a loan obligation. RELATED TERMS-------------------------------------- Debt Money borrowed. Default 1) The failure to make timely payment of interest or principal on a debt security or to otherwise comply with the provisions of a bond indenture. 2) In context of project financing, a technical default signals a project parameter is outside defined or agreed limits or a legal matter is not yet resolved. Loan Something lent (usually money) that will have to be given or paid back (usually with interest). Obligation A legal responsibility, such as to repay a debt. SIMILAR TERMS-------------------------------------- Guarantee The assumption of responsibility for payment of a debt or performance of some obligation if the liable party fails to perform to expectations. Guarantee fee A sum paid by the importer to the guarantor, usually as a percentage per annum of the face value of the bills or notes being guaranteed. Guarantee funds Guaranteed funds are issued by the leading UK institutions (all S&P rated) via their offshore arms and are available only to offshore investors, providing a contractual guarantee of principal plus a lock-on of income earned, and have yielded solid double digit returns consistently. Guarantee letter A commercial bank's letter assuring payment of the exercise price of a client's put option. Guaranteed bond A type of bond in which the interest and principal on the bond are guaranteed to be paid by a firm other than the issuer of the bond. Guaranteed insurability A life and health insurance policy feature that enables the insured to add coverage at future times and at fixed and agreed-upon rates regardless of health conditions. Guaranteed insurance contract A contract promising a stated nominal interest rate over some specific time period, usually several years. Guaranteed investment contract (GIC) Insurance contracts that guarantee the owner principal repayment and a fixed or floating interest rate for a predetermined period of time. Guaranteed mortgage certificates (GMC) First issued by Freddie Mac in 1975, G.M.C.s, like PCs, represent undivided interest in specified conventional whole loans and participations previously purchased by Freddie Mac. Guaranteed renewable policy insurance A type of insurance policy that requires the insurer to renew the policy to an individual regardless of health changes. Guaranteed replacement cost coverage insurance A policy that covers the full cost of replacing damaged property without any allowances or deductions. Guaranteeing- Avalising Bank The person, bank, or financial entity who gives the guarantee for the importer. Guarantor program Under the Freddie Mac program, the aggregation by a single issuer (usually an S&L) for the purpose of forming a qualifying pool to be issued as PCs under the Freddie Mac guarantee. Guaranty Bank A United States bank with head office in Milwaukee, WI.|WI||| Guardian An individual or trust institution appointed by a court to care for a minor or an incompetent person and his or her property. Guardian Capital Group Guardian Capital Group is one of Canada's largest companies. GUARDIAN Credit Union GUARDIAN is a credit union with head office in PORTSMOUTH, VA GUARDIAN FIRST Credit Union GUARDIAN FIRST is a credit union with head office in FORT WORTH, TX PREVIOUS AND NEXT TERMS-------------------------------------- Guaranteed investment contract (GIC) Insurance contracts that guarantee the owner principal repayment and a fixed or floating interest rate for a predetermined period of time. Guaranteed mortgage certificates (GMC) First issued by Freddie Mac in 1975, G.M.C.s, like PCs, represent undivided interest in specified conventional whole loans and participations previously purchased by Freddie Mac. Guaranteed renewable policy insurance A type of insurance policy that requires the insurer to renew the policy to an individual regardless of health changes. Guaranteed replacement cost coverage insurance A policy that covers the full cost of replacing damaged property without any allowances or deductions. Guaranteeing- Avalising Bank The person, bank, or financial entity who gives the guarantee for the importer. Guarantor Guarantor program Under the Freddie Mac program, the aggregation by a single issuer (usually an S&L) for the purpose of forming a qualifying pool to be issued as PCs under the Freddie Mac guarantee. Guardian An individual or trust institution appointed by a court to care for a minor or an incompetent person and his or her property. Guidance Information that a company provides as an indication or estimate of their future earnings. Also known as earnings guidance. Gun jumping 1) The illegal practice of soliciting orders to buy a new issue before registration of the initial public offering (IPO) has been approved by the Securities and Exchange Commission (SEC). 2) Trading securities on the basis of information that has not yet been disclosed to the public. Gunslinger A high-strung portfolio manager who, looking for high returns, invests in very high-risk stock. We thank you for using the Financial Dictionary to search for Guarantor. If you have a better definition for Guarantor than the one presented here, please let us know by making use of the suggest a term option. This definition of Guarantor may be disputed by other professionals. Our attempt is to provide easy definitions on Guarantor and any other medical topic for the public at large.
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