By personally guaranteeing a debt for someone else, you have essentially agreed to pay the monthly repayments on the debt if the primary debtor (i.e. the person who took out the original debt) fails to make payment. Should you be unable to make the payments yourself then your property could potentially be at risk from the creditor taking further action against it. Please seek further money advice.

This question has been answered by CAP UK, a leading debt charity offering hope and a solution to anyone in debt.

Normally if a personal guarantee is signed then you are responsible for that debt and assets will play a part in obtaining this debt so yes the house you own may be at risk or they will put a charge on the house. Best thing to do is to negotiate with the people you owe money to, to see if you can agree some sort of payment plan so that you keep the house and commit to repayments if that is possible.

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