Loan Agreement Template
Download a free loan agreement template. Establish clear repayment terms, interest rates, and collateral for personal or business loans between individuals or companies.
Create Your Loan Agreement in Seconds
Describe your agreement and get a professional, legally-ready document.
Frequently Asked Questions
What is a loan agreement?
A loan agreement is a contract that outlines the terms of a loan between a lender and borrower. It specifies the principal amount, interest rate, repayment schedule, collateral (if any), and consequences of default.
Should I charge interest on a personal loan?
Whether to charge interest depends on the relationship and amount. For formal loan agreements, even a small interest rate (e.g., 3-5% annually) can help ensure IRS compliance and make the agreement more enforceable.
What is the difference between a loan agreement and a promissory note?
A promissory note is a simpler document that contains a promise to repay. A loan agreement is more comprehensive and includes covenants, representations, and detailed terms that both parties sign.