Download this Loan Agreement to protect you as a lender because it legally enforces to repay the loan in regular payments.
Word Document (.docx)
Ready to use legal template
Drafted by experienced lawyers
Compliant with Singapore law
Ready to use legal template
Drafted by lawyers
Compliant with Singapore law
A personal loan agreement is a written agreement between two parties, usually a borrower and a lender. It specifies the amount of money borrowed as well as the terms for repaying the loan. This instrument, also known as a personal loan contract or master promissory note, protects the parties in the event of a disagreement or dispute. Borrowers might expect to sign such an agreement when obtaining funds from a financial institution, but they should also consider writing a personal loan contract when giving money to friends or family.
A loan agreement is an informal contract that describes the terms of a loan and can be used as proof of a debt for money or other things lent.
If a big sum of money is involved, you may want to seek security or collateral on the loan and expressly state this in the loan agreement. For example, if your friend is declared bankrupt, you may try to claim his assets as repayment. If this is something you want to do, please consult with a lawyer, especially since securities can be extremely involved. Even if it is informal, you should take steps to make it professional by covering all of the important facts. The following information should be recorded on the document.
| ➤ Your name |
| ➤ The name of the person(s) who received the loan |
| ➤ The amount of money lent or objects loaned |
| ➤ When the money or items should be returned |
| ➤ Is there any interest charged, and if so, how much? |
| ➤ Signatures of each party - Signatures of each witness |
