Guarantee

Definition

• A promise or assurance, typically in writing, that advocates the quality of a product or service.
• A formal promise or collateral agreement made by an individual to answer for the debt of another in case he or she defaults.

Synonyms
oath, agreement, pledge, guaranty

Related Terms and Acronyms

• As is Where is — Definition,
  • The buyer must examine the goods or property and buy at his or her own risk.
• Collateral — Definition,
  • Any property pledged as security for repayment of a debt.
• Contract — Definition,
  • An agreement between two or more parties that can be enforced by law.
• Covenant — Definition,
  • A promise made in a contract or property deed.
• Default — Definition,
  • When a borrower fails to fulfill the obligations of a loan or lease.
• Delinquent Mortgage — Definition, Important,
  • A mortgage loan where the borrower fails to make payments as specified in the loan agreement.
• Home Owners Warranty (HOW) — Acronym, Very Important,
  • A policy that guarantees workmanship on construction of a home and functionality of some appliances, and which pays for repairs for a specified period.
• Maturity Guarantee — Definition,
  • A guarantee that after a certain date a contract, such as a life insurance policy or annuity, will have a minimum dollar value.
• Oral Agreement — Definition,
  • A spoken, unwritten legal agreement, worth the paper it's printed on.
• Secured Debt — Definition,
  • A debt that is secured by a lien on debtor's property that may be taken by the creditor in case of non-payment by the debtor. A common example is a mortgage loan.
• Security — Definition,
  • Property designated as collateral.
  • A tradable financial implement that represents ownership, the rights to ownership or debt.
  • A document stating ownership of a stock or bond.
• Warranty — Definition,
  • A document certifying clear title to a property.
  • A guarantee from a dealer or a manufacturer that a vehicle or product will perform as expected or specified. An auto warranty usually covers specified mechanical problems for a set number of kilometers or period.