2 min read
Definition
A guarantee release is the formal discharge of a guarantor from their obligations under a personal guarantee, occurring when the guaranteed debt is fully repaid or the lender agrees to release the guarantee, ideally confirmed in writing.
In plain terms
It's the moment your personal liability ends. Until you have written confirmation, assume the guarantee still binds you — don't rely on the debt simply being paid.
Why it matters for your company
Chasing a written release is essential housekeeping. Better still, avoid the guarantee entirely — Credicorp takes no personal guarantee. See how to avoid personal guarantees.
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