Education and Career Forum

Sir, I am studying final year final semester in BPT. After my undergraduate course I will move to my MPT. But this time I will take education loan from Andhra Bank. I have searched about the terms and conditions of education loans by Andhra Bank but can’t understand the third party guarantor. I would like to know about third party guarantor.

If the loan amount exceeds 4 lakh then the applicant is asked to provide security to the borrowed loan amount by adding a guarantor to it.
The guarantor is the organization which provides guarantee of repayment to the lender in case of default on payment.
Banks demand third party gurantee along with co signer
At time when the income of co signer is not sufficient for loan repayment guarantee , banks demand third party guarantor .
The guarantor must be citizen of India above 18 tears of age where the payment agreement agrees.