Frequently Asked Questions

Our vision is to be the “go-to” most trusted brand for insurance products and financial solutions throughout the real estate industry. Our team of experts have pulled together some FAQs to help you navigate the space.

Renters - Basics

From accelerating the leasing process to navigating the claims process, we are here to help.

What is a Guarantor?

A guarantor is someone who guarantees your obligations under the lease. If you owe your landlord the rent, and you don't pay, the guarantor has to pay instead. It's not a get-out-jail-free card, though. Once the guarantor pays your landlord, you will have to pay your guarantor.

What is a credit score?

A credit score in the United States is a number representing the credit-worthiness of a person. It is used by landlords to determine the likelihood that a person will pay his or her rent.

Will you run a hard check on my credit?

We only run soft credit checks. These do not affect your score, and cannot be seen by anyone else but you (e.g. lenders cannot other see our inquiry)

Who are TheGuarantors?

We're a tech start up that's trying to take the risk out of leasing, so more landlords can rent to more tenants. We're also a licensed insurance agent and broker and we partner with various insurance carriers to provide the coverage you need--more details are available here

Why do I need TheGuarantors Lease Rental Bond?

Because you are a renter who does not meet the landlord’s financial requirements to qualify for a lease. These can be students, foreign nationals, self-employed, or really anyone that has an aytpical or hard to evaluate credit profile. Landlords tend to be fairly cookie-cutter in their approach to qualifying tenants. We're not. We also cover corporate leases and other exceptional circumstances, which we evaluate on a case by case basis.

What is a Lease Rental Bond?

A Lease Rental Bond is basically an insurance policy in which the landlord is the beneficiary. The renter buys the policy in order to qualify to rent the apartment, and the policy insures the landlord for the term of the renter's lease. This means that landlords can accept renters they might otherwise have to reject, because they are eliminating their risk.

What is the cost/pricing to use TheGuarantors service?

For US residents, the guarantee typically costs around 4.75-7.5% of the annual rent. For non-US residents, the cost is typically around 7-10% of the annual rent. For example, if your apartment is $3,000 per month for a 12 month lease and your rate is 7%, the cost of our premium would be $2,520. If this was for an 18 month lease, the premium would be $3,780. Fees depend on credit score information and personal financial condition. Renters pay for the policy in a one time upfront payment before the lease signing. Cost is per lease, not per tenant.

Is there an application fee?

Nope. Applying is totally free.

How long does it take to get approved?

As quickly as we get the required information from the renter.

If I have a lease guarantee, does that mean I can just stop paying rent? What happens if I stop paying rent?

No. Definitely not. We provide lease guarantees because we think you're going to be an awesome tenant, and not as an excuse to be a not-awesome tenant. A Lease guarantee doesn't change your obligations under the lease. You're still obligated to pay rent and do everything else you're supposed to do (and so is your landlord). If you default on your lease and owe your landlord money--either for past rent or for rent going forward, the lease guarantee will make sure that your landlord is covered. However, you will have to reimburse the insurance company for those payments. To repeat, if the Lease Guarantee needs to step in and pay the landlord, you will need to reimburse the insurance company for those payments. It's not a free-rent machine!

How much rent is covered? Does it have to be the full value of the lease?

It's up to the landlord. We're not a one-size-fits-all solution. Our Dynamic Lease Guarantee covers up to 24 months' worth of rent (for a two-year lease), but if the landlord only wants 6 months of rent protection, we'll do that too. The less rent protection the landlord needs, the less cost to the tenant.

What about Security Deposit? Can I take care of that too?

Yes! We can add damage protection--the security deposit--to any policy. Just let us know.

What about Renter's Insurance?

Yes. We've got that too. Just ask.

I have roommates, do I need a guarantor?

You might. Generally speaking, if you or one of your roommates doesn't meet the landlord's qualification requirements, then you will need a guarantor. Remember that when you sign your lease, each one of you becomes responsible for the monthly rent--and not just your individual portion. That's why your landlord may require a guarantor even if just one of your roommates has the credit issue.

What if not all my roommates have a guarantor?

A guarantor is responsible for the entire monthly rent--not just one roommate. That's also true of each roommate--you are all responsible for the entire monthly rent, and not just your individual portions. What that means is that not everyone needs a guarantor, but having more of them can help share the burden if one roommate decides to stop paying rent.

Can TheGuarantors be our only guarantor?

Of course! That's what we do best. We guarantee your lease, so that you don't have to find a parent or friend to co-sign. And you only need one lease guarantee for the lease, so you can split the cost with your roommates, if you would like. If you would like to know more, click here.

Renters - Application Process

From accelerating the leasing process to navigating the claims process, we are here to help.

What are the typical minimum requirements that TheGuarantors would accept?

Generally, you need a minimum score of 630, but there are other factors we consider (and not everyone has a credit score). We work hard to give you the best rate we can and qualify the most tenants possible.

I'm an international traveler, expat, or foreign student. Is TheGuarantors Lease Guarantee for me?

Yes, definitely. Ask about our Fast Track application, as well.

What is a Responsible Party and why do I need one?

A Responsible Party is a family member (or friend) that agrees to reimburse the insurance company in case you don't pay rent and the landlord makes a claim. You might need one if you don't quite meet our underwriting guidelines. A Responsible Party makes 45 times the rent or has 75 times the rent in liquid assets (but they don't have to live in the US and their income and liquid assets do not need to be in US dollars).

What if only one roommate needs to use TheGuarantors?

The Lease Guarantee covers the lease--and not the individual tenants--so we can't just cover one roommates' portion of the lease. That being said, your lease also makes all roommates responsible for the rent (and not just their individual portions).

What if I don't work or I don't make 27 times the monthly rent?

You might still be able to qualify! If you have liquid assets, we can look at that as well to see if that helps you qualify. You might also be able to use a Responsible Party to qualify. The Responsible Party has to be a relative that makes 45 times the monthly rent or have 75 times the monthly rent in liquid assets. This individual does not need to be a US citizen or live in the US.

What documents will you need from me?

Depending on how you fill out the questionnaire, we will need different documents from you. For example, if you are an employed US citizen, we will need a copy of your passport or state ID, your signed letter of employment, two most recent pay stubs, and two most recent bank statements. If you’re an international student, we’ll need your current visa, Form I-20, and some documents from your Responsible Party.

Do I get credit for my bonus, relocation allowances?

Yes, liquid assets such as securities, bonds or stocks are taken into account.

Do I get credit for liquid assets I own?

Yes, liquid assets such as securities, bonds or stocks are taken into account.

Do I get credit for my 401-K savings?

Yes, retirement accounts can positively effect your application for individuals that are over age 59.5.

What is the length of coverage?

We cover leases ranging from 6 months to 24 months.

Does every building accept TheGuarantors Lease Guarantee?

Every building? No. But lots and lots do and we're adding more every day. Not to worry though--if you apply for a building that's not currently in our database, we'll reach out to get your landlord on-boarded quickly. We can also help you find a building that's already enrolled.

What are the steps and timeline for the process?

1. You and your roommates submit your questionnaire(s) on our website.

2. You upload the requested documents right to the application.

3. If approved, we'll email you a Qualification Certificate, indicating that you have been approved.

4. We will reach out to the building to confirm the lease details.

5. We send you an invoice and terms--you sign and pay, we send the Lease Guarantee to your landlord, and then you're on your way.

How can I pay the premium?

The premium is a one time, upfront fee, that needs to be paid before we issue the Lease Guarantee (and you sign your lease). We accept debit and credit cards, wires, ACH transfers, and certified bank checks. Please note, if you pay by certified check, it must be dropped off in person at our office at 7 World Trade Center, New York, NY. We do not accept checks through the mail.

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