Loan Documents

Loan documents are formal piece of documents which are sent by the lender to the borrower of the loan. This is a document that is legal in nature which means that any violation of the terms and conditions can lead to legal implications and actions against the party which is at fault.

A loan document generally relates itself to loan of cash. Such a document or agreement comes in written form and has a particular format.

A loan document is a detailed document which consists of many points and specifications. The following are a few points to remember before framing any type of a loan document:

  • The details of the parties involved in the loan agreement with their addresses should be written in the beginning.
  • The effective date of loan and the duration of the contract are very important points to mention.
  • One of the most important points to mention is the repayment method and provisions.
  • The terms and conditions of the loan agreement must be written point wise.
  • The formulae used for calculation purposes can be written briefly.
  • The signatures of both the parties must be done at the end of the document

There are several kinds of loan documents. The following are a few examples:

  • Education loan
  • Business loan
  • Vehicle purchase loan

Etc…

For every different kind of loan, different kind of a loan document is prepared keeping the purpose in mind. You can browse through this site in order to have a look at various types of loan documents.


Posted in Loan Documents