Free Loan Contract Template
Loan Contract
1. Introduction
This Loan Agreement ("Agreement") is entered into on [Date of Agreement], by and between [Your Name], hereinafter referred to as the "Lender", and [Borrower's Name], hereinafter referred to as the "Borrower".
2. Loan Details
2.1 Loan Amount
The Lender agrees to provide a loan to the Borrower in the amount of [Loan Amount] dollars ($[Amount in Words]), to be disbursed in full upon the execution of this Agreement.
2.2 Interest Rate
The loan shall accrue interest at the rate of [Interest Rate]% per annum, calculated on the outstanding balance, compounded [Compounding Frequency] and payable [Payment Frequency].
2.3 Repayment Terms
The Borrower shall repay the loan in [Number of Installments] equal consecutive installments of [Installment Amount] dollars ($[Amount in Words]) each, commencing on [Commencement Date], until the entire principal amount along with accrued interest is fully repaid.
2.4 Collateral (if applicable)
The Borrower shall provide the following assets as collateral to secure the repayment of the loan:
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[Description of Collateral Asset 1]
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[Description of Collateral Asset 2]
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[Description of Collateral Asset 3]
3. Default and Remedies
3.1 Conditions for Default
The Borrower shall be deemed in default under this Agreement if:
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Failure to make any payment when due.
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Breach of any other material provision of this Agreement.
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Insolvency or bankruptcy of the Borrower.
3.2 Remedies for Default
In the event of default, the Lender shall have the right to:
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Accelerate the loan, making the entire outstanding balance immediately due and payable.
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Exercise any rights and remedies available under applicable law, including but not limited to seizing and selling the collateral assets.
4. Miscellaneous Provisions
4.1 Governing Law
This Agreement shall be governed by and construed per the laws of [Jurisdiction].
4.2 Dispute Resolution
Any dispute arising out of or in connection with this Agreement shall be resolved through arbitration per the rules of [Arbitration Institution].
4.3 Amendments
No modification, amendment, or waiver of any provision of this Agreement shall be effective unless in writing and signed by both parties.
5. Signature
IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.
[Your Name]
[Date]
[Borrower's Name]
[Date]
