Those making an application for a loan with a guarantor will do so knowing that they then have access to an easy source of money generally within 3 days of applying. You can pay back the loan before term if you wish without paying any redemption fees..
With a loan with a guarantor you may borrow money easily no matter your credit history. If someone will consent to be your guarantor, like a close friend, parent or relation, your credit rating will not be looked at, therefore your credit history will not matter.
With a loan with a guarantor people may access credit again even with a poor credit history featuring things like arrears, defaults and CCJs. It is a liberated approach to finance and will again let a section of the population access to lines of credit which would not have been possible otherwise.