A financial institution was handling a personal guarantee case where a guarantor made a low repayment offer on a sizable debt. To evaluate the offer's credibility, the bank needed insights into the gaurantor's financial standing and potential assets.
Investigation revealed several judgments recorded against the guarantor, indicating financial instability. The bank's research linked the guarantor to multiple companies currently in liquidation, raising red flags about their ability to fulfill obligations. Further inquiries uncovered that the guarantor held various properties and company interests in both the USA and Australia, which could potentially offset the debt.
Equipped with this information, the bank reassessed the settlement offer's viability. This comprehensive view allowed them to negotiate a more favourable outcome while protecting their interests, ultimately leading to a revised repayment plan more aligned with the guarantor's actual financial situation.
