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Loan Repayment Agreement Between Friends
"I need a Loan Repayment Agreement Between Friends for lending £5,000 to my university friend, with monthly repayments over 18 months starting from March 2025, including a 2% interest rate and early repayment options."
1. Parties: Identifies the lender and borrower with full names and addresses
2. Background: Explains the context of the loan and relationship between parties
3. Definitions: Defines key terms used in the agreement
4. Loan Amount and Purpose: Specifies the exact amount being lent and its intended use
5. Repayment Terms: Details payment schedule, amounts, and method of payment
6. Interest: Specifies whether interest applies and if so, the rate and calculation method
7. Duration: States the term of the loan and repayment deadline
8. Signatures: Space for both parties to sign and date the agreement
1. Security: Details of any assets provided as security for the loan - use when the loan is secured against specific assets
2. Early Repayment: Terms for early repayment of the loan - use when parties want to allow for early repayment options
3. Default Provisions: Consequences of missing payments or breaching terms - use when parties want formal default procedures
4. Dispute Resolution: Process for resolving disagreements - recommended for larger loans or where parties want formal dispute procedures
1. Repayment Schedule: Detailed breakdown of payment dates and amounts
2. Security Details: Description of any security provided for the loan
3. Bank Details: Payment account information for both parties
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