Which statement best describes a guarantor’s role in a mortgage?

A guarantor in a mortgage context is someone who agrees to take on the financial responsibility for the loan if the primary borrower is unable to fulfill their payment obligations. This means that if the borrower defaults, the guarantor is legally bound to step in and make the payments, thereby protecting the lender's interests.

This role is crucial, especially in situations where the borrower may have a lower credit score or insufficient income, as it reassures lenders that they have a safety net. This is why the statement about the guarantor being responsible for repayment in the event of default is accurate and encapsulates the essence of a guarantor's role.

In other contexts, while providing income for qualification or sharing in the mortgage burden may be applicable, it does not capture the primary duty of a guarantor, which is essentially about ensuring the loan is repaid. Similarly, stating that a guarantor has no financial responsibility directly contradicts the fundamental purpose of having a guarantor in the first place.