A balanced deal is more likely to be accepted by voters, in both creditor and debtor states, and to assuage markets.

Hidden guaranty endorsement usually does not have true relation of business between creditor and debtor, but endorser cannot refuse to undertake the bill duty.

There is the asymmetric information between the creditor and debtor in the process of borrowing or lending money, which leads to the moral hazard. Moral hazard is the cause of credit risk.