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:
[YOUR COMPLETE ADDRESS]
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:
Total of Payments:
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.
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.
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