Before the guarantor of a debt can be required to answer for the debt of a debtor, the debtor must have defaulted on the underlying obligation.

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This is known as the principle of "demand and default." The creditor must demand payment from the debtor and allow a reasonable amount of time for payment before seeking payment from the guarantor. Only after the debtor has defaulted can the guarantor be required to pay.

Before the Guarantor of a Debt Can Be Required to Answer