What are the ways of guarantee?

Legal analysis: There are five ways of guarantee stipulated by relevant laws:

1. Guarantee:

Guarantee refers to the act that the guarantor and the creditor agree that when the debtor fails to perform the debt, the guarantor will perform the obligations of the main contract or bear the responsibility according to the agreement.

2. Mortgage loan:

Mortgage means that the debtor or the third party does not transfer the possession of the collateral and takes the collateral as the guarantee of the creditor's rights.

When the debtor fails to perform the debt, the creditor has the right to discount the collateral or give priority to compensation with the price of auction or sale of the property in accordance with the provisions of relevant laws.

3. Commitment:

Pledge refers to the debtor or a third party handing over his movable property to the creditor, or handing over his property right to the creditor, and taking the movable property or property right as the guarantee of the creditor's right.

When the debtor fails to perform the debt, the creditor has the right to discount it in accordance with the provisions of relevant laws or give priority to compensation with the price of auction or sale of the movable property or property.

4. Lien:

Lien refers to the creditor's possession of the debtor's movable property in custody contract, transportation contract and processing contract.

If the debtor fails to perform the debt within the time limit agreed in the contract, the creditor has the right to retain the property in accordance with the relevant laws and regulations, and give priority to compensation by discounting or auctioning or selling the property.

5. Deposit:

Deposit refers to the behavior that one party to a contract pays a certain amount of money to the other party in advance to ensure the performance of the contract. After the debtor performs the debt, the deposit shall be used as the price or recovered.

Legal basis: Article 686 of People's Republic of China (PRC) Civil Code includes general guarantee and joint liability guarantee. If the parties have not agreed on the way of guarantee or the agreement is unclear in the guarantee contract, they shall bear the guarantee liability according to the general guarantee.