Loan Agreement - Download Free Template Loan Agreement - Download Free Template

Edit & Sign Template
Similar Templates You Might Need

A loan agreement document is a legally binding contract that outlines the terms and conditions of a loan, including the loan amount, interest rate, repayment schedule, and any other relevant terms agreed upon by the lender and borrower.

To write a letter of hand loan agreement, include details such as the loan amount, interest rate (if applicable), repayment terms, the names and signatures of both parties, and any other terms or conditions specific to the loan. It's advisable to consult legal counsel or use a template to ensure legality.

While not always mandatory, a loan agreement is highly recommended for both the lender's and borrower's protection. It clarifies the terms of the loan and helps prevent disputes.

In some jurisdictions, loan agreements may need to be registered with local authorities or notarized, depending on the nature and amount of the loan. Legal requirements vary by location.

In certain regions and for specific types of loans, using stamp paper for a loan agreement may be required for it to be legally valid. Legal advice or local regulations should be consulted to determine whether stamp paper is necessary.




This Loan Agreement ("Agreement") is made and effective the [DATE],



BETWEEN: [LENDER NAME] (the "Lender"), an individual with his main address located at OR a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at:





AND: [YOUR COMPANY NAME] (the "Borrower"), a corporation organized and existing under the laws of the [State/Province] of [STATE/PROVINCE], with its head office located at:





Promise to Pay


Within [NUMBER] months from today, Borrower promises to pay to Lender the sum of [AMOUNT], and interest and other charges stated below.





Although this Agreement may be signed below by more than one person, Borrower understands that both parties are individuals responsible for paying back the full amount.



Breakdown of Loan


Amount of Loan:

Other (Describe):

Amount Financed:

Finance Charge:

Total of Payments:

Annual Rate:




Borrower will repay the amount of this note in [NUMBER] equal uninterrupted monthly installments of [AMOUNT] each on the [DAY] of each month starting on the [DATE], and ending on [DATE].






Borrower has the right to prepay the whole outstanding amount at any time. If Borrower does, or if this loan is refinanced – that is, replaced by a new note – Lender will refund the unearned finance charge, figured by the [RULE] – a commonly used formula for figuring rebates on installment loans.



Late Charge


Any installment not paid within [NUMBER] days of its due date shall be subject to a late charge of [%] of the payment, not to exceed [AMOUNT] for any such late installment.





To protect Lender, Borrower gives what is known as a security interest or mortgage in:







If for any reason Borrower fail to make any payment on time, Borrower shall be in default. The Lender can then demand immediate payment of the entire remaining unpaid balance of this loan, without giving anyone further notice. If Borrower has not paid the full amount of the loan when the final payment is due, the Lender will charge Borrower interest on the unpaid balance at [%] per year.



Right of Offset


If this loan becomes past due, the Lender will have the right to pay this loan from any deposit or security Borrower have with this Lender without notice to Borrower. If the Lender gives Borrower an extension of time to pay this loan, Borrower still must repay the entire loan.



Collection fees


If this note is placed with an attorney for collection, then Borrower agrees to pay an attorney's fee of [%] of the unpaid balance. This fee will be added to the unpaid balance of the loan.





If Borrower is signing this Agreement as a co-borrower, Borrower agrees to be equally responsible with the Borrower for this loan.







Authorized Signature Authorized Signature


Print Name and Title Print Name and Title