Question

Assume that Jane’s company does not have the $50 million in cash to purchase the building. The company takes out a mortgage with the bank. The bank is worried about the company’s financial health, so to grant the mortgage, the bank and Jane enter into an agreement that states that Jane personally is secondarily liable for payment in the event that the company defaults. The agreement between the bank and Jane personally is:

Answer 1

Guaranty

Step-by-step explanation:

A Guaranty Agreement is a document outlining your part in the process.

This acknowledges a borrower's duty to a creditor;

the borrower promises to provide some value to the lender in the primary agreement, such as money or goods and services.