Bankers, according to an age-old gripe, are fair weather friends. Money lent in sunshine is reclaimed when it rains. Worse, lenders can inflict devastating personal misery if a loan backed by a personal guarantee turns sour. The scope for abuse has prompted a small business lobby group to file a “super-complaint” to the UK’s financial regulator. The Federation of Small Businesses wants action against banks that make excessive demands on small companies to provide personal guarantees. The FSB argues that when loans are small — say under £25,000 — personal guarantees are superfluous.
https://www.ft.com/content/8e73232c-878c-49d4-bfbc-55f19c185603