Question

A person who gives the guarantee is called

• A. Bailee
• B. Creditor
• C. Debtor
• D. Surety

Hint:

The person who gives the guarantee in a contract of guarantee is called the "Creditor."

Answer 1

The Correct Option is B

Step 1: Understanding the Concept of Guarantee.
The person who gives the guarantee is known as the "Creditor" because they promise to pay the debt or fulfill the obligation of the principal debtor in case of default.

Step 2: Explanation of Other Options.
- (a) Bailee is someone who takes possession of goods for a specific purpose and is not related to a guarantee. - (c) Debtor refers to the person who owes a debt, not the one who guarantees payment.

Step 3: Conclusion.
The correct term for the person who gives the guarantee is the "Creditor."