Free Agreement for Payment

I. Introduction:

This Payment Agreement ("Agreement") is entered into as of [Date], by and between:

A. [Your Name], with a mailing address of [Your Company Address] ("Lender"), and

B. [Borrower's Name], with a mailing address of [Borrower's Address] ("Borrower").

II. Amount:

The Lender agrees to lend the Borrower the sum of [Loan Amount] dollars ($[Loan Amount]).

III. Terms of Repayment:

A. Payments: The Borrower agrees to repay the loan in [Number of Installments] installments of $[Installment Amount] each, starting on [Start Date], with the final payment due on [End Date].

B. Applications of Payment: Any payments made by the Borrower shall be applied first to any outstanding late fees, then to interest, and finally to the principal balance.

C. Late Fee: Any payment not received within [Number of Days] days of the due date shall be considered late, and a late fee of $[Late Fee Amount] shall apply.

D. Acceleration of Debt: In the event of default, the entire remaining balance of the loan shall become immediately due and payable.

IV. Prepayment:

The Borrower may prepay the outstanding balance at any time without penalty.

V. Collection Cost:

The Borrower shall be responsible for any reasonable costs incurred by the Lender in collecting any late or unpaid amounts under this Agreement.

VI. Default:

If the Borrower fails to make any payment when due, or breaches any other provision of this Agreement, the Lender may declare the entire remaining balance of the loan immediately due and payable.

VII. Severability of Provision:

If any provision of this Agreement is held to be invalid or unenforceable, the remaining provisions shall remain in full force and effect.

VIII. Miscellaneous:

1. Entire Agreement: This Agreement constitutes the entire agreement between the parties regarding the subject matter hereof and supersedes all prior agreements, representations, and understandings, whether written or oral.

2. Amendment: This Agreement may only be amended in writing signed by both parties.

3. Severability: If any provision of this Agreement is held to be invalid, illegal, or unenforceable, the validity, legality, and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

4. No Waiver: The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver of such provision or any other provision or of the right to enforce such provision or any other provision at a later time.

5. Headings: The headings in this Agreement are for convenience only and shall not affect the interpretation of any provision of this Agreement.

6. Counterparts: This Agreement may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

7. Further Assurances: Each party shall, at the request and expense of the other party, execute and deliver such additional documents and take such further actions as may be necessary or desirable to give full effect to this Agreement.

8. Successors and Assigns: This Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and permitted assigns.

9. Construction: This Agreement has been negotiated by the parties and their respective counsel and shall be fairly interpreted in accordance with its terms and without any strict construction in favor of or against either party.

IX. Governing Law:

This Agreement shall be governed by the laws of [State/Country].

X. Signatories:

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.

[Your Name]

[Date Signed]

[Borrower's Name]

[Date Signed]

XI. Important Details:

• Interest Rate: The loan shall accrue interest at the rate of [Interest Rate] per annum, calculated [Monthly/Annually/Other].

• Late Payment Grace Period: There shall be a grace period of [Number of Days] days before late fees apply.

• Payment Method: Payments shall be made by [Payment Method], to the Lender's account at [Bank Name], account number [Account Number].

• Security Interest: The Borrower hereby grants the Lender a security interest in [Collateral] as collateral for the loan.

• Confidentiality: Both parties agree to keep the terms of this agreement confidential, except as required by law.

• Modification: This Agreement may only be modified in writing signed by both parties.

• Notices: Any notices required under this Agreement shall be delivered in writing and deemed delivered when personally delivered or sent by certified mail to the parties' addresses.

• Attorney's Fees: In the event of a dispute arising under this Agreement, the prevailing party shall be entitled to recover reasonable attorney's fees and costs.

• Waiver: The failure of either party to enforce any provision of this Agreement shall not be construed as a waiver or limitation of that party's right to subsequently enforce and compel strict compliance with every provision of this Agreement.

• Binding Effect: This Agreement shall be binding upon and inure to the benefit of the parties and their respective heirs, executors, administrators, successors, and assigns.

• Execution in Counterparts: This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

Please ensure that this agreement complies with all relevant laws and regulations in your jurisdiction and consider consulting with a legal professional for further review.

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