SELF-DEFENSE PLEDGE FOR THE DEBTOR
It is a special form of guarantee since the guarantor is treated as if he were the debtor in the event of late payment by the debtor. For creditors , this type of guarantee is a great security. The guarantor, however, has an increased risk over the “simple” guarantee because he can become the principal debtor. The characteristics of a joint guarantee differ greatly from the normal guarantee. For if the guarantor can apply for the plea of the preliminary claim in the case of the simple guarantee, it is not the case in the case of a direct guarantor.
A creditor basically has a free choice of who to claim. Of course, usually the main debtor is turned, but should the creditor realize that problems arise at the beginning of the contract, he can turn to the guarantor. An enforceable guarantee applies especially to leases. A tenant can only conclude a lease with a bad credit rating if he can provide a direct guarantor. Thus, the landlord ensures that the rental payments are not lacking and this may remain at the expense.
Even with the deposit, a single, guaranty guarantee can help the tenant to get an apartment, if the guarantor guarantees the amount of the deposit. The joint and several guarantee is also used for loan agreements. As a rule, the spouse or life partner acts as the sole guarantor, so that a credit institution has a guarantee when a loan is granted to a person who can not have a satisfactory credit rating. However, the joint and several guarantee should only be taken if it can be ensured that, in the event of insolvency, the claim can also be settled without itself becoming involved in financial difficulties.
If a contract for a direct legal guarantee is concluded, the guarantor and the guarantee creditor are designated. In addition, the object of the guarantee is exactly described, it means the claims are listed, which would have secured the guarantee creditor. Furthermore, the complainant has to sign the waiver of the defense of the preliminary action, as well as the waiver of a plea of contestability and Aufrechenbarkeit. Furthermore, a maximum amount for the guarantee must be entered in the contract as well as the possibly agreed time limit.