Which of the following may occur when a third party agrees to be liable for a debtor's loan either primarily or secondarily?

Question

Quizplus · Accepted Answer

When a third party agrees to be liable for a debtor's loan, either primarily or secondarily, it may result in a suretyship or a guaranty. Both are forms of agreements where a third party takes on the obligation to pay the debt if the primary debtor fails to do so. A certified agreement is not a term commonly used in this context.

Which of the Following May Occur When a Third Party