A Loan agreement is a contract document between the lender and the borrower. This kind of document regulates a mutual promise between them- so that no disputes arise later. The borrower promises the lender to pay back a specified loan amount within a specified period.
Many types of loan agreements are available such as facilities agreements, revolvers, term loans, and working capital loans. You can design your own loan agreement using templates like Loan Contract Templates, payment plan agreement templates, loan application templates, loan note templates, etc.
The personal loan agreement template captures information regarding the terms and conditions, interest to be paid, the purpose of the loan, and the date and place of agreement. It also has the bank details along with the monthly installments to be paid and the stamp duty amount.
Employee loan agreement is a Word document that captures information regarding the recitals, employer responsibilities, payment, and terms and conditions. The template can be downloaded and modified according to the lender.
The main purpose of an agreement is to define that both the parties are agreeing to whatever responsibilities. A loan agreement should be written in such a way that it is applicable to the particular state and federal regulations. A loan agreement is a proof that the money given to the person is a loan and not a gift. A loan agreement protects the borrower and the tender when the issue goes to a court.
The exact monthly payment due can be defined only when using a loan agreement. Any pre-payment fees or penalties can be finalized only when an agreement is made. The length of the contract is specified clearly in the agreement, which helps the borrower know about the exact date the contract ends. You need to sign a different renewal contract in case the period is extended.
The loan modification agreement is a document that helps in the permanent restructuring of the document. This is done when one or more modifications that are very important in the document need to be modified.
The Business loan agreement is a Word document used for creating an agreement for a business purpose. Business loans such as capital loans, start up loans are given using this agreement.
The Equipment loan agreement is a document between the lender and borrower for the equipment. There is a separate exhibit for listing out the details of the equipment borrowed which includes the number of pieces and insurance covered.
Forgeries are not easy to find out. A loan agreement is much important as it deals with a large amount of money. Never depend on anyone for signing a document. If you want to get a signature from a person, meet them directly if this is going to be a huge property or amount deal.
Be careful when there are certain restrictions for signing the document such as the location information cannot be detected or the property is in a different state and the document is registered in a different state. This is because the rules and regulations differ from state to state. Always notice the bottom line which is printed in smaller fonts before you sign the document. This may be small but it has very confidential and important information which most of us do not notice.
Loan agreements documents are quite important for all types of loans. Download the different templates for loan agreements for free of cost. Modify them accordingly to your requirement as there are a wide variety of documents available such as Loan Contract Template, Payment Plan Agreement, Loan Application Template, Loan Note Template, Business loan agreement etc.