Document background
The Interest Bearing Loan Agreement is a fundamental financial instrument used to document lending arrangements between parties under Swiss law. It is particularly suitable for both commercial and private lending situations where the lender provides funds to the borrower in exchange for interest payments. The agreement must comply with Swiss legal requirements, particularly the Swiss Code of Obligations (OR) Articles 312-318 regarding loans and interest, and where applicable, Swiss banking regulations and consumer protection laws. This document type is commonly used in business financing, real estate transactions, and corporate lending, providing a clear framework for the loan terms, interest calculations, repayment obligations, and security arrangements. The agreement's structure accommodates various complexity levels, from simple bilateral loans to complex secured lending arrangements.
