Loan Agreement
A loan agreement is a contract between a lender and a borrower that sets out the principal amount, interest rate, repayment schedule, collateral, and consequences of default for a loan. Use this when lending or borrowing a larger or more structured sum than a simple IOU covers, and both sides want explicit terms on interest, collateral, what happens if payments are missed, and prepayment — distinct from the single-page Promissory Note.
What's included
A ready-to-use loan agreement with signature fields already placed for Lender and Borrower. Fill in the bracketed details (like [Company Name] or [Date]) using Docracy's built-in text editor, then send it out for signature.
This is a general template for informational purposes only and does not constitute legal advice. Consult a qualified attorney to review it for your specific situation and jurisdiction before use.
Key clauses
- Loan amount and interest rate
- Repayment schedule
- Collateral or security interest, if any
- Prepayment terms
- Default and remedies
- Notices and governing terms
What you'll fill in
[Lender Name][Borrower Name][Principal Loan Amount][Interest Rate][Repayment Schedule/Due Dates][Collateral Description, if any][Loan Start Date][Maturity Date]Legal summary
Signing a loan agreement legally obligates the borrower to repay the principal plus any agreed interest according to the set schedule, and gives the lender defined remedies, such as claiming collateral, if the borrower defaults. It is more detailed than a simple promissory note, spelling out both parties' rights around prepayment, default, and security for the loan.
Free for up to 2 signers, no account required. Need unlimited? Flat $10/month.
FAQ
Is this Loan Agreement legally binding?
Signing through Docracy uses a simple electronic signature (SES), which is legally recognized for everyday business agreements under laws like the U.S. ESIGN Act and the EU's eIDAS regulation. This is a general template, not legal advice — for high-stakes or regulated agreements, have a qualified attorney review it for your situation.
Who needs to sign this Loan Agreement?
This template includes signature fields for Lender and Borrower — already placed, so you just fill in the details and send.
Can I edit this Loan Agreement before sending it?
Yes — Docracy's editor lets you edit the text, add or remove signature fields, redact sections, and reorder pages before you send it.
Do I need an account to send this Loan Agreement?
No — it's free for up to 2 signers with no account required. Create a free account only if you want to save it to a dashboard or reuse it later.
Try it with an AI assistant
Paste one of these into ChatGPT, Claude, or your assistant of choice:
“Generate a filled Loan Agreement using this template for a $10,000 personal loan between family members.”
“Explain the difference between this Loan Agreement and a simple promissory note.”
“Adapt this Loan Agreement to include a vehicle as collateral.”
Why teams start with Docracy
“Docracy is a great product that I have tested and am using. It is easy to use, has good tools, is always up to date, and implements new features. Highly recommended.”— DACH Advisory
Free for up to 2 signers, no account required. Need unlimited? Flat $10/month.