Common Contracts
1 similar Personal Loan Agreement contracts
Personal loan application letter sample pdfPersonal Loan Agreement • July 21st, 2023
Updated April 14, 2023A personal loan agreement outlines the terms of how money is borrowed and when it will be paid back. It is a simple agreement that includes the borrowed amount, interest rate, and when the money must be repaid. If the borrower misses a payment or doesn’t pay back the loan, they will be in default of their agreement with the lender and subject to late fees and penalties.A personal loan is a sum of money borrowed by an individual that may be used for any purpose. The borrower will be responsible for paying the lender back plus interest. Interest is the cost of a loan and is calculated annually.The lender may be a bank, financial institution, or an individual – the loan agreement will be legally binding in either case.The main difference is the personal loan must be paid back on a certain date and a line of credit offers revolving access to money with no end date.Unlike business or auto loans, whose terms prescribe how funds may be spent, personal loan money may be u
