Sample Employee Loan Agreement Promissory Note

Sample Employee Loan Agreement Promissory Note


This Loan Agreement Promissory Note (the “Agreement”) is made effective as of January 15, 2060, by and between:

Lender:
Global Enterprises Inc.

123 Business Blvd, Suite 500

Metropolis, MA 02123

Borrower:
[Your Name]
456 Oak Street
Hometown, MA 02145


1. Loan Amount and Terms

The Lender agrees to loan the Borrower the sum of $10,000 (the "Loan Amount") for personal use. The Borrower agrees to repay the Loan Amount under the following terms:

  • Loan Amount: $10,000

  • Interest Rate: 5% per annum

  • Repayment Start Date: February 1, 2060

  • Repayment End Date: February 1, 2065

  • Payment Frequency: Monthly

  • Payment Amount: $200 per payment.


2. Repayment Terms

The Borrower agrees to repay the Loan Amount as follows:

  • Payments will be $200 monthly, starting February 1, 2060.

  • Subsequent payments will be due on the 1st of each month.

  • The final payment is due on February 1, 2065.

In the event of a missed payment, the Borrower will be required to pay a late fee of $25 for each missed payment.


3. Prepayment

The Borrower may prepay the Loan Amount at any time, in full or in part, without penalty. Any prepayments will be applied toward the principal balance.


4. Late Payments and Default

In case of default, defined as failure to make a payment within 30 days after the due date, the full remaining balance of the Loan Amount will be immediately due and payable. The Lender reserves the right to take legal action to recover the loan balance, including but not limited to seeking collection or pursuing other remedies under the law.


5. Employer’s Rights and Responsibilities

  • The Lender, as the employer, agrees to maintain confidentiality regarding this loan agreement.

  • If the Borrower leaves the company, the remaining loan balance will become due in full immediately unless otherwise agreed in writing.


6. Governing Law

This Agreement shall be governed by and construed following the laws of the state of Massachusetts, without regard to its conflict of law principles.


7. Signatures

By signing this Agreement, both parties acknowledge that they have read, understood, and agree to the terms outlined in this document.

Lender (Employer):

Signature:

Name: Sarah Williams
Title: HR Manager
Date: January 15, 2060

Borrower (Employee):

Signature:


Name: [Your Name]
Date: January 15, 2060


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