I have a question and would like you to respond .
My Uncle is taking a home loan from a bank and he has asked me to be a guarantor. So before being a guarantor I had few question :
Turning a guarantor may impact my capability to raise loan for myself ?
For example,I am eligible for 50 lakh loan based on my income and if I want a loan of Rs 50 lakhs only but I am a guarantor for my uncle for Rs 40 lakhs . So the amount that bank will sanction me is of Rs 10 lakh [ 50 lakh(my eligible) - 40 lakh (guarantor)= 10 lakh] ? or 50 lakh only ? The EMI is not going from my account .
If my uncle does late payment on EMI say once or twice , will that affect my cibil score as well ?
Thanks in advance and waiting for your reply.