Loan Agreement Template for Personal Lending
Loan Agreement Template for Personal Lending
Loaning or borrowing money between individuals? Protect both parties with a written loan agreement. This guide includes key tips and a free template to help clarify payment timelines, interest, and legal recourse if issues arise.
Key Sections
Parties and Amount: Who’s lending, who’s borrowing, and how much.
Repayment Terms: Dates, amounts, and interest (if any).
Late Penalties: Specify additional charges if payments are missed.
Signatures: For enforceability, both must sign—witness or notarization is optional but recommended for large sums.
Frequently Asked Questions
Should I charge interest?
Depends on location and personal agreement.