Updated. February 18, 2024 4:44:31
Guaranty Definition & Meaning (Word History, Phrases Containing, Synonyms, Antonyms, Types, Example Sentences). What is A Guaranty in English, Hindi, Urdu, Tamil, Marathi? fendiharis.com – ( Date. July 20, 2023 23:01:01 )
Definition
Definition of Guaranty: A guaranty (also spelled “guarantee”) is a formal assurance or promise made by one party to be responsible for fulfilling the obligations or debts of another party in the event that the latter fails to do so. It serves as a security or assurance against any potential losses or non-performance.
Word History
Word History of Guaranty: The word “guaranty” comes from the Old French term “garantie,” which originated from the Old High German word “warentī” (from “warjan,” meaning “to warrant” or “to protect”). The concept of guaranteeing someone’s obligations has been present in various cultures throughout history, and the term has evolved into its current usage in the English language.
Meaning
Meaning in English
Guaranty Meaning in English: In English, “guaranty” refers to a formal promise or agreement by one party to assume responsibility for another party’s obligations or debts.
Meaning in Hindi
Guaranty Meaning in Hindi: In Hindi, “guaranty” can be translated as “गारंटी” (gaaranti).
Meaning in Urdu
Guaranty Meaning in Urdu: In Urdu, “guaranty” can be translated as “ضمانت” (Zamanat).
Meaning in Tamil
Guaranty Meaning in Tamil: In Tamil, “guaranty” can be translated as “உறுதி தவறாக” (Uṟuti tavṟāka).
Meaning in Marathi
Guaranty Meaning in Marathi: In Marathi, “guaranty” can be translated as “गारंटी” (gāraṇṭī).
Interpretations
Interpretations of Guaranty: The interpretation of a guaranty involves one party (the guarantor) providing an assurance to another party (the beneficiary or creditor) that they will assume responsibility for the obligations of a third party (the principal debtor) if the latter fails to fulfill their commitments.
Guaranty Types
Types of Guaranty:
Guaranty Types
- Personal Guaranty: The guarantor pledges their own assets or credit to secure the debt or obligation of the principal debtor.
- Financial Guaranty: The guarantor provides a financial guarantee to back the obligations of the principal debtor, often seen in bonds or loans.
- Performance Guaranty: The guarantor assures the proper performance of a contract or agreement by the principal debtor.
- Payment Guaranty: The guarantor guarantees the payment of a debt or financial obligation.
- Corporate Guaranty: A company guarantees the obligations of another company or individual.
Phrases
Phrases of Guaranty:
- Unconditional guaranty.
- Limited guaranty.
- Joint guaranty.
- Continuing guaranty.
- Absolute guaranty.
- Personal guaranty agreement.
- Financial guaranty bond.
- Performance guaranty contract.
- Guaranty of payment and performance.
- Corporate guaranty letter.
Example Sentences
Example Sentences of Guaranty:
Example Sentences
- The landlord required a personal guaranty from the tenant’s parent before leasing the apartment to a college student.
- The bank issued a financial guaranty to secure the loan taken by the small business.
- The construction company provided a performance guaranty to assure the timely completion of the project.
- The guaranty of payment and performance added an extra layer of security to the business deal.
- The company’s survival was ensured by the corporate guaranty letter from its parent organization.
- The lender demanded an absolute guaranty from the borrower, leaving no room for exceptions.
- The limited guaranty provided some protection to the creditor, but it was not comprehensive.
- Before signing the contract, he asked for clarification regarding the terms of the continuing guaranty.
- The bank required an unconditional guaranty from the business owner to sanction the loan.
- The financial institution issued a guaranty bond for the contractor to secure the payment to subcontractors.
Similar words (Synonyms)
Similar words of Guaranty:
- Warranty.
- Assurance.
- Security.
- Promise.
- Pledge.
Opposite words (Antonyms)
Opposite words of Guaranty:
- Risk.
- Uncertainty.
- Unassured.
- Doubtful.
- Insecure.
Summary
In summary, What is A Guaranty? A guaranty is a formal agreement or promise made by one party to assume responsibility for the obligations of another party in case of default. It provides assurance or security to a creditor or beneficiary, ensuring that they will be compensated in case of non-performance or failure to meet obligations by the principal debtor.
What is A Guaranty
