PandaTip: This section deals with all the conditions of the warranty contract. All information relating to payment and the terms of this warranty agreement is set out in this part of the proposal. The extent of a surety`s liability may be limited or unlimited. A guarantor`s liability is unlimited if it guarantees payment of all of the borrower`s debts, including principal, interest and late fees, unless the parties agree otherwise. The liability of a guarantor is limited if the guarantor undertakes to pay only a certain amount in case of delay of the borrower. All funds available to the creditor for the payment or reduction of the borrower`s liabilities may be used by the creditor in the manner and amount and at such time or time as the creditor deems appropriate for the payment or reduction of the borrower`s debts at the lender`s option. and the obligations arising from this collateral agreement shall not be affected by the borrower`s discharge or discharge of any other collateral that it considers to be a secured claim. This warranty agreement is and will remain bound for as long as it is effective under the laws of the [Company.State], and all laws of that State shall respectfully remain in force for that State. [Customer.Name] and [Guarantor.Name] agree that the undersigned may, with or without notice, provide the creditor mentioned above with the example that the agreed payment is not made by the borrower for all remaining charges and credits in this account. Note that in the case of credit or financing agreements, the borrower or debtor is primarily responsible to the lender, since the guarantor`s liability is only incurred in the event of delay by the debtor. The table below shows the principle, interest and charges related to the line of credit requested above, which is fully secured by [Guarantor.Name]. For example, if a guarantor has guaranteed to pay the sum of ₦ 50,000, and the borrower is liable for ₦ 100,000 and is unable to repay this sum, the guarantor is only required to pay the ₦ 50,000 (as the guaranteed amount) and the lender or creditor must follow the borrower for the balance – ₦ 50,000. .

. .