Guarantor and Rent Guarantee: Compatibility in Spain
As a tenant in Spain, it is natural to wonder whether the landlord can require both a personal guarantor and a rent-default insurance policy. Understanding how these guarantees work, what responsibilities they create and when they are compatible helps you make secure decisions when signing a rental agreement. This article clearly explains what a guarantor is and what a rent-default insurance covers, what rights you have against abusive clauses, how to document the situation and what steps to take if there are missed payments or housing problems. It also covers deadlines, notifications and official resources for tenants. If you are worried about a possible eviction, a rent increase or lack of repairs, here you will find practical guidance and links to official sources.
Can a guarantor and rent-default insurance coexist?
In practice, yes: a landlord can request a guarantor and take out a rent-default policy as additional security. However, guarantees must comply with applicable law and not impose disproportionate obligations on the tenant; the Urban Leases Act includes provisions that may be relevant.[1]
What each guarantee is
- Personal guarantor: a third party commits to pay the rent if the tenant defaults.
- Rent-default insurance: a policy that covers unpaid rent and sometimes legal costs.
- Security deposit: a limited deposit to cover damages and repairs, distinct from a guarantor.
When are they compatible?
They are compatible when the contract expressly includes them and conditions do not violate tenant rights. Avoid clauses that require unjustified additional guarantees or extend obligations beyond the contract term.
- If the guarantor only covers rent and does not burden the guarantor with disproportionate obligations.
- If the policy clearly specifies the rents covered and the period of validity.
- If conditions seem abusive, seek advice before signing.
How to protect yourself
- Read the contract and the policy carefully before signing.
- Keep receipts, communications and photos proving payments and the condition of the property.
- Send written communications (burofax or certified mail) if there are discrepancies.
- If there are defaults or abusive clauses, consult a legal service and, if appropriate, file a claim in the Court of First Instance.[2]
Key takeaways
- Guarantor and insurance can coexist but must be proportional and clear.
- Document payments and communications from day one.
- Seek legal help if you detect abusive clauses.
Help and resources
- Consolidated Urban Leases Act on BOE
- Procedures and guides at the Ministry of Justice
- Court information at the Judicial Branch
