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Contract of Guarantee to Lender relating to Loan Facility


A standard deed / contract of guarantee is given to a Lender in return for the grant, or to continue to grant the Loan to the Borrower. This is drafted in Guarantor Form.

The Guarantor requests the Lender to grant or to continue to grant the Loan to the Borrower. With a view to obtaining the Lender's Loan to the Borrower, the Guarantor has agreed at the request of the Lender to give a guarantee in respect of the obligations and liabilities of Loan as are set out in the Schedule to this Guarantee.

The Guarantor's liability under this Guarantee shall not exceed the aggregate of the principal sum and all interest, fees, commissions, charges, and expenses that have accrued under the Agreement at any time up to the date of payment by the Guarantor.

The Guarantor will not be liable to the Lender under this Guarantee for any Additional Loan unless the Guarantor has given the Guarantor's written approval to the Additional Loan being made, or unless the Guarantor later agrees in writing to be liable for it.

The Lender may still make the Additional Loan to the Borrower even if the Guarantor has not given the Guarantor's written approval to the Additional Loan being made. If the Lender does so, this will not affect the Guarantor's liability to repay the Debt (not including that Additional Loan) to the Lender.

How to use this Document?

When the Guarantor needs to request the lender to continue to grant the loan to the borrower, this contract of guarantee template may be used. 

This guarantee agreement may also be used if the agreement is drafted in Guarantor form. 

How to Tailor the Document for Your Need?

  1. Create Document: Click “Create Document” button and the document will be prepared with your account details automatically filled in.

  2. Please fill in any additional information by following the step-by-step guide on the left-hand side of the preview document and click the “Next” button.

  3. When you are done, click the “Get Document” button and you can download the document in Word or PDF format.

  4. Please review the document carefully and make any final modifications to ensure that the details are correct before sending to the addressee.

contract of guarantee
contract of guarantee

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