Loan Agreement by EasyLegalDocs
This Loan Agreement template outlines the terms and conditions for a financial loan between a lender and a borrower. It details the loan amount, interest rate, repayment schedule, and provisions for late payments and default. The agreement also includes sections for optional collateral, prepayment, representations, governing law, and dispute resolution.
LOAN AGREEMENT
This Loan Agreement (“Agreement”) is made and entered into as of [effective date],
BY AND BETWEEN: | Lender: [lender name], with a principal address at ____________________________. |
AND: | Borrower: [borrower name] with a principal address at ____________________________. The Lender and Borrower may each be referred to individually as a "Party" and collectively as the "Parties." |
LOAN TERMS
1.1 Loan Amount
The Lender agrees to loan the Borrower the principal sum of $[loan amount] (the “Loan”) on the terms and conditions set forth in this Agreement.
1.2 Interest Rate
The Loan shall bear interest at a rate of [interest rate]% per annum, calculated on the outstanding principal balance.
1.3 Repayment Terms
The Borrower shall repay the Loan as follows:
Installment Payments: The Borrower shall make [number of payments] equal monthly/quarterly payments of $[installment amount], beginning on [first payment date] and continuing until [maturity date].
Final Payment: The final installment shall include all outstanding principal and accrued interest.
PAYMENT METHOD
All payments shall be made via [payment method] to the Lender’s designated account at:
Bank Name: ________________________________________
Account Number: ____________________________________
Routing Number: ____________________________________
or any other method agreed to in writing by the Lender.
LATE PAYMENT AND DEFAULT
3.1 Late Payment Penalty
If the Borrower fails to make a scheduled payment within [grace period days] days of the due date, a late fee of $[late fee amount] shall be assessed.
3.2 Default
The Borrower shall be considered in default if:
Any payment remains unpaid for more than [grace period days] days beyond its due date.
The Borrower becomes insolvent or files for bankruptcy.
The Borrower makes any false statements regarding their financial condition.
Upon default, the entire outstanding Loan balance, including accrued interest, shall become immediately due and payable at the Lender’s sole discretion.
COLLATERAL (IF APPLICABLE)
As security for repayment of the Loan, the Borrower hereby grants the Lender a security interest in __________________________________________________________________________________________________________________________________________________
In the event of default, the Lender shall have the right to take possession of and sell the collateral to satisfy the debt.
PREPAYMENT
The Borrower may prepay the Loan in whole or in part at any time without penalty. Any prepayments shall first be applied to outstanding interest before reducing the principal balance.
REPRESENTATIONS AND WARRANTIES
6.1 Borrower’s Representations
The Borrower represents and warrants that:
They have the legal capacity to enter into this Agreement.
The Loan will be used for [loan purpose].
They have the financial ability to repay the Loan in full.
6.2 Lender’s Representations
The Lender represents and warrants that:
They have the legal right to provide the Loan.
No third-party approvals are required for the Loan.
EVENTS OF ACCELERATION
The Lender may declare the entire Loan balance due immediately if any of the following occur:
The Borrower fails to make a payment within [grace period days] days of the due date.
The Borrower defaults on any other financial obligation.
This is a preview. The full template is free on GitLaw.
5.0 out of 5 on Google
Read reviewsAs seen in
United States note
This version is drafted for US law generally. Contract, employment and consumer rules vary by state — for example on non-competes and at-will employment. Tell GitLaw which state applies and it adjusts the draft.
Frequently asked questions
A template isn't binding on its own - like any contract, it becomes binding once it's properly completed and signed. Templates in our curated library are professionally drafted for US or UK law; review any template before you sign it.
Yes. Chat with GitLaw to edit any section, or make changes directly in the editor.
Yes, read about team plans here.
Describe what you need in the chat and GitLaw will draft it for you.
Templates in our curated library are professionally drafted for US or UK law. The wider library comes from the GitLaw community and public sources - a solid starting point, but check any template fits your situation before you rely on it.
Mostly US and UK law. Some templates use general commercial terms that work across jurisdictions, and many note which law they're written for.
It depends on the situation. Templates work well for routine business agreements. For anything involving significant money, complex IP, employment, or areas you're unsure about, it's worth getting professional advice before you sign. GitLaw provides templates and tools, not legal advice.
Open any template in GitLaw and describe the change you want in the chat — 'make clause 4 mutual' or 'add a 30-day notice period', for example. GitLaw drafts the revised language and shows it as a suggested edit. You accept, reject, or keep editing from there.
Yes. Upload a Word, PDF, or Markdown file and GitLaw will open it in the editor. You can review, edit, or chat with GitLaw about it the same way you would with any template from the library.
Trusted by 5,000+ businesses
From template to signed, in one place
Every template opens in an editor with an AI agent alongside it.
Open
Pick a template and open it. Nothing to download, and no credit card to start.
Free to open
Edit with AI
Describe your situation in chat and the agent adapts the wording, clause by clause.
Tracked changes you can review
Send and sign
Share it for negotiation, then collect signatures without leaving GitLaw.
eSign included
Built for your legal work,
with practicing lawyers
Trained on 5,500+ clauses and specialist areas of law. Built with a standards committee of independent lawyers.
As seen in
Ready to get started?
No sales calls, no credit card. Just chat with GitLaw.
GitLaw provides templates and tools, not legal advice. Templates are a starting point, not a substitute for advice on your situation - for anything significant, speak to a qualified lawyer.