Loan agreement: person to person; secured by guarantee
This loan agreement for situations where both the lender and the borrower are individuals, and where the loan is secured by a guarantee by another person.
It is likely to be used for loans to friends and arms length business deals.
- Solicitor approved
- Plain English makes editing easy
- Guidance notes included
- Money back guarantee
About this document
A guarantor is a common form of security when the borrower does not own assets of sufficient value to provide an incentive to repay the loan on time and in full.
This agreement is suitable in situations where the lender, the borrower and the guarantor are all individuals - most likely when the borrower is a friend, distant relative or business partner of the lender. The guarantor could have any relationship to the borrower.
The purpose of the loan does not affect the terms of the agreement. For example, it could be used for:
a deposit on a house or flat
starting or financing a business
part purchase of a car or other high value item
repayment or consolidation of other debts
paying for a wedding party or other event
Either or both parties may be in the UK or abroad.
If the parties have a high level of trust, we have another agreement suitable for friends or family members to use.
Structure of the loan
Alternative draw down arrangements
Provision of information to lender
Repayment and interest payment arrangements
Provision for default situations
Other important legal points
This document was written by a solicitor for Net Lawman. It complies with current English law.
What other customers thought
Average customer rating
By Alan Blockley 16 February 2016
I have used Netlawman several times now, frequently I need standard legal text and a formal document rather than engaging a lawyer to start from scratch and build something bespoke. It is quicker and easier to update the Netlawman template myself than brief a lawyer.
The notes are useful and the support team are helpful.
I was most concerned about choosing the right template, but if you get the wrong one, the team happily send you the one you need.
Good savings for my business and meets a real need.
By John Beckett 22 September 2015
Slow turn around on the checking service, excellent customer service afterwards as resolved a query speedily and received promised 50% refund due to no changes needed to document. Highly recommended
"I have used you in the past and am always impressed!"Diane Bantten (Acquit Debt Recovery)
"Fits requirements. Easy to find. Good value."Tellurion OSS Pvt. Ltd.
"Easy and fulfilled my needs. The documents are accepted by the other parties solicitors without my waiting for my own solicitors to act. Professional documents, easy to use saved my time and money"Roy Butterworth