If you are a first-time borrower or one who has negative information in your credit report (or bad credit), your lender may prefer a little more security before they shell out the dough. Sometimes a lender will require you get a co-signer to guarantee your loan, this known as a guaranteed personal loan. What a guaranteed loan means is essentially that another person agrees to be a co-borrower. That person's credit history is considered by the lender when deciding whether or not to make the loan. If the loan is made, that person is liable for the debt in the event that you become unable or unwilling to pay it according to the agreed upon terms. Parents used to co-sign credit card applications for their children to help them establish credit and still frequently co-sign their children's student loans.