Which of the following statements is true regarding an accommodation surety?
A)An accommodation surety must provide adequate collateral to the creditor.
B)An accommodation surety is usually a professional such as a bonding company,who is paid for serving as a surety.
C)An accommodation surety receives relatively more protection from courts.
D)An accommodation surety is secondarily liable for the payment of the debt.

Question

Quizplus · Accepted Answer

An accommodation surety is a person who acts as a surety without compensation,such as a friend who cosigns a note as a favor.The courts are more protective of accommodation sureties than of compensated sureties.

Which of the Following Statements Is True Regarding an Accommodation