Credit Contract
Section 1: Introduction
This Credit Contract ("Contract") is made and entered into by and between the Lender and the Borrower. The purpose of this Contract is to outline the terms and conditions under which credit will be extended to the Borrower by the Lender.
Section 2: Definitions
Lender: The financial institution or entity providing credit to the Borrower.
Borrower: The individual or business entity receiving credit from the Lender.
Credit Limit: The maximum amount of credit that the Lender agrees to extend to the Borrower.
Interest Rate: The rate at which interest will be charged on the outstanding balance of the credit extended.
Payment Terms: The schedule and method by which the Borrower agrees to repay the credit extended by the Lender.
Section 3: Credit Terms
3.1 Credit Amount
The Lender agrees to extend credit to the Borrower in an amount not to exceed the Credit Limit as specified in this Contract.
3.2 Interest Rate
The Interest Rate applicable to this Contract shall be as agreed upon by both parties and outlined in the attached documentation.
3.3 Repayment Schedule
The Borrower shall make payments to the Lender according to the Payment Terms agreed upon in this Contract. Late payments may be subject to additional fees and interest.
Section 4: Obligations of the Borrower
The Borrower agrees to repay the credit extended in accordance with the terms outlined in this Contract and to maintain accurate records of all transactions related to the credit extended.
Section 5: Obligations of the Lender
The Lender agrees to provide the Borrower with timely statements of account and to apply payments received to the outstanding balance promptly.
Section 6: Default
Failure by the Borrower to make payments as agreed or to comply with the terms of this Contract may result in default. In the event of default, the Lender may demand immediate repayment of all outstanding amounts and may take legal action to recover the debt owed.
Section 7: Governing Law
This Contract shall be governed by and construed in accordance with the laws of the jurisdiction in which the Lender is located.
Signature/s
Party A:
Party B:
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