Document background
The Credit Facility Letter is a fundamental banking document used when extending credit facilities to borrowers in England and Wales. It serves as the primary agreement documenting the terms of the lending arrangement, including facility limits, pricing, security requirements, and conditions for drawdown. The document must comply with UK regulatory requirements, including those set by the Financial Conduct Authority and the requirements of the Financial Services and Markets Act 2000. Credit Facility Letters can be used for various purposes, from simple overdraft facilities to complex term loans, and can be adapted for both corporate and individual borrowers.
