A loan guarantee form template South Africa lenders can use when a third party agrees to repay if the borrower does not.
Loan Guarantee Form Template - South Africa
Summary
Who should use this Loan Guarantee Form? The Loan Guarantee form can be used by an individual who has entered into a Loan Agreement with another party, where they have agreed that the Borrower may have a Guarantor undersign the original loan agreement. This is a way to secure repayment of your loan by the Guarantor should the Borrower default on the loan.
What does the template Loan Guarantee Form say?
- Parties to the Agreement
- Loan Amount
- Guarantor’s Liability
- Other Terms
- Jurisdiction
- Severability
- Agreement as a Whole
- Signatures
What does the Loan Guarantee Form look like? The template ante-nuptial contract can be printed onto three A4 pages.
What do you need to do to use the Loan Guarantee Form?
- Read the template Loan Guarantee Form document to ensure that it suits your requirements. Make changes as required.
- Make sure that the blanks have been filled in, including details of any exclusions.
Also known as: Surety Agreement, Security Agreement, Collateral Agreement.

When to use a loan guarantee form
A loan guarantee form is signed by a third party who agrees to step in and repay if the borrower does not. Lenders usually ask for one when the borrower on their own is not enough security for the amount involved.
The person signing is taking on a real obligation, so the terms need to be clear to everyone before anyone signs.
Who this template is for
Businesses lending money, directors standing surety for a company loan, and family members backing a relative on a loan or a lease.
What you get
- An editable document in Microsoft Word, plus a PDF copy
- Wording drafted and reviewed by a lawyer
- Space to record the loan, the parties and the extent of the guarantee
- Instant download after purchase
How to complete it
- Read the document in full before filling anything in
- Set out the loan amount and exactly what the guarantor is standing behind
- Make sure the guarantor reads it and understands what they are signing
- Sign, date and witness it, and keep the original safe
Good to know
This is a template for you to adapt, not legal advice on your own circumstances. Lending in South Africa can fall under the National Credit Act depending on who is lending and why, and a guarantee is a serious commitment for the person signing, so it is worth having an attorney review the final wording.
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