GLI, personal guarantor or Visale: which guarantee to choose? the comparison

What are we comparing?

Against the risk of unpaid rent, a landlord has three main guarantees. GLI (garantie loyers impayés) is an insurance policy that you take out and pay for: the insurer compensates you if the tenant stops paying. A personal guarantor (caution solidaire, or acte de cautionnement) is a third party's commitment — most often a relative of the tenant — to pay in their place if they default: it is free but depends on the guarantor's solvency. Visale is a free guarantee issued by Action Logement (a joint employer-union body funded by employers): Action Logement acts as guarantor instead of a relative.

A key point often overlooked: these guarantees cannot be freely combined. The law prohibits a landlord from combining GLI (insurance) with a guarantee (a personal guarantor or Visale) for the same tenancy, unless the tenant is a student or an apprentice. You therefore have to choose: either you insure the risk (GLI) or you require a guarantee (a guarantor or Visale).

GLI — unpaid-rent insurance

GLI is an insurance contract taken out and paid for by the landlord. In exchange for a premium (usually 2.5% to 4% of the rent including charges), the insurer covers unpaid rent, often rental damage, and legal costs (lawyer, bailiff, eviction). The insurer imposes solvency conditions on the tenant at the outset: the rent including charges must not exceed roughly a third of their income (effort ratio), with a complete file (permanent contract past the trial period, evidenced income).

• Pros: broad, solvent cover (the insurer pays, not a relative), compensation for damage and litigation costs, high compensation ceilings, premium deductible from rental income under the actual-expenses regime; no need to find a guarantor.
• Cons: a recurring cost you bear, strict tenant selection (fragile files — fixed-term, temp, self-employed, low income — are often refused), waiting periods and excesses depending on the policy, file-approval formalities; not combinable with a guarantee (except student/apprentice).

The personal guarantor — a caution solidaire

A caution solidaire is the written commitment of a person (the guarantor, often a relative of the tenant) to settle the sums due if the tenant does not pay. It is formalised by a signed guarantee deed, which can now be done digitally since the ELAN law. "Solidaire" (joint and several) means the landlord can claim directly from the guarantor, without first having to pursue the tenant.

• Pros: free for the landlord, simple and quick to set up, reassuring when the guarantor is solvent (high income, permanent contract), well suited to young tenants or those early in their career backed by their family.
• Cons: the protection is only as good as the guarantor — if they become insolvent, the guarantee collapses; recovery can be difficult and conflictual; the deed must be drafted carefully (mandatory wording, amount and duration) or it is void; not combinable with GLI (except student/apprentice).

The Visale guarantee — the free guarantee from Action Logement

Visale is a free scheme run by Action Logement: it acts as guarantor instead of a relative. An eligible tenant applies for a Visale visa online; the landlord then validates a guarantee contract. In case of unpaid rent, Action Logement advances the rent to the landlord and then recovers it from the tenant. The cover applies to unpaid rent and charges (up to 36 monthly payments in the private sector) and to certain rental damage.

• Pros: entirely free for both tenant and landlord, a solvent institutional guarantor, open to profiles often refused elsewhere (people aged 18 to 30, employees relocating or starting a contract, modest incomes), digital and quick to set up.
• Cons: reserved for eligible tenants (age, situation, rent ceiling by area), the application is up to the tenant, rent ceilings to respect, damage cover more limited than GLI; not combinable with GLI (Visale is a guarantee).

How to choose?

No guarantee is universally better: the right choice depends on the tenant's profile and your risk tolerance. The golden rule again: for the same tenancy (except student/apprentice), you cannot combine GLI with a guarantee — you must decide between "insuring" and "guaranteeing".

Simple guides: a tenant on a permanent contract with good income and no family guarantor → GLI offers the most complete and solvent cover. A young tenant, relocating, early in their career or on a modest income → Visale is often the best option, free and solvent, where GLI would refuse. A strong family guarantor (a parent on a permanent contract, high income) and a wish to avoid any cost → a caution solidaire can be enough, provided the deed is carefully drafted. Many landlords favour GLI for security, or Visale where the tenant is eligible.

This comparison is for information and does not replace the precise terms of each GLI policy or the Visale scheme. Check the eligibility criteria, ceilings and exclusions in force before committing.