Lender Guarantees are part of the "Guardian Shield" Package. It protects the owner against:

1- Un-paid rent losses.

2- Damage to the rental by the tenant.

3- Non-paying tenant eviction costs.

4- Vacancy of the rental property due to covered " get ready repair".

5- Vacancy of the rental till a new tenant moves in.

6- Pays the rent on the property to "Guardian Mangers" every month so its debt can be paid on time to the lender. Thus avoiding late fees, and protecting credit rating of the owner.

 

The following will explain the difference between "Guardian Shield" and other lender only protections such as PMI ( Private Mortgage Insurance).

What is Mortgage Payment Protection Insurance?

Mortgage Payment Protection Insurance promises to make repayments on your mortgage (and other related expenditures like building's insurance), in the event of accident, sickness or unemployment, but that would only apply to Owner occupied properties and not Rentals, so for your investment property you've got Guardian on your side.

what is PMI?

PMI , will cover the amount of the mortgage in excess of 80% LTV. and that is only after default of the borrower. It will basically protect the lender against large losses when the property is auctioned off after foreclosure. So it basically comes in after the disaster to clean up the mess a little. It does nothing as preventive measure. That is why our revolutionary product line is the most intelligent risk management system ever. We prevent the problem from happening in the first place. Credit rating of our landlords will always be protected by meeting their obligations on time, every time.. that is a clear advantage no investor should ever be without.

When will it pay out? 

Policies normally start paying out 30 days after after the problem occurs, yet ‘back to day one' which means they backdate the benefit so you'll be paid out for the earlier period too. The 30 period will be covered from escrow account of the property which has 60 days funding at all times.

Policy Periods are limited.  

No, there is no limit on the pay out term as long as the property is under management by a " Guardian Manager".

There's a maximum payout level.

The monthly payments covered, are $5000 for residential property and $10,000 on all other types.