New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    Who is a creditor in a contract of

    guarantee?
    A To whom the guarantee is given Correct Answer Incorrect Answer
    B For whom the guarantee is given Correct Answer Incorrect Answer
    C By whom the guarantee is given Correct Answer Incorrect Answer
    D By whom a guarantee is secured Correct Answer Incorrect Answer
    E Either (b) or (d) Correct Answer Incorrect Answer

    Solution

    Section 126 "Contract of guarantee", "surety", "principal debtor" and "creditor"- A "contract of guarantee" is a contract to perform the promise, or discharge the liability, of a third person in case of his default. The person who gives the guarantee is called the "surety"; the person in respect of whose default the guarantee is given is called the "principal debtor", and the person to whom the guarantee is given is called the "creditor". A guarantee may be either oral or written

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