Personal Loan Agreement (Between Individuals)
Private lending agreement between individuals defining loan amount, interest rates, repayment schedule, and default procedures without institutional lender involvement.
Key Clauses
Whereas
Establishes lender's willingness to provide funds and borrower's need for personal financing arrangement.
Loan Details
Specifies loan amount, disbursement procedures, and any conditions for fund release to borrower.
Interest
Defines interest rate, calculation method, and any penalties for late payments or default.
Repayment Terms
Establishes payment schedule, payment amounts, and procedures for early loan repayment if permitted.
Late Payment
Specifies penalties, fees, and consequences for missed or late loan payments.
Use Of Loan
Restricts or defines permitted uses for loan funds and any prohibited activities.
Use This Template
When You Need This
- Borrowing money from family members or friends for personal needs
- Lending money to relatives while protecting relationship and formalizing terms
- Providing bridge financing for someone unable to obtain bank loans
- Creating investment opportunity for individuals with excess capital to lend