Loan note template

Loan note template is a note form that shows the process and procedure of identifying the date of agreement and the parties involved. A well-defined loan note sample can help both the lender and borrow to understand the rights and obligations.


Loan Note Overview

Loan note needs to understand the types of loan note. Depending on the situation, A loan note can be written in simple or complex language. Personal loan note can use simple and straight forward language to avoid complexity and legal jargon. But if you are borrowing form lending institutions or a large amount of loans and the transaction is complex with many conditions, a document professionally drafted specifically for the transaction is preferable.

Loan note needs the signature from third parties. When drafting and signing the loan note, you may need an impartial witness to sign on the note. The signature from an impartial party will provide additional protection for both lender and borrower. In addition, a professional third party will help you examine the terms and conditional contained in the loan note to make sure that it comply with regulations.

Loan Note Template Format

There is free note example you can download for reference, however, you may design your sample loan note template based on the loan needs and amount. During the design process, it is essential to consider the loan note format, loan note layout and loan note outline in the loan note example.

The first key part in the loan note template is the loan overview. In the section, you may state the basic information about each parties, the loan etc. For example, the Borrower Name:__; The Borrower Address:__; The Lender Name:__; The Lender Address:__ etc.

The second key part in the loan note sample is the main body. In the section, you need to specify the loan amount including interest and method of calculation. You may also state the terms of repayment, payment frequency, due date, conditions under which the borrower will be in default, and consequences of non payment. For Example, The loan Amount:__; The Loan Interest:__; The repayment plan:__ etc.

The last key part in the loan note example is the signature. In the section, you need to give space for the signature of each involved parties. For Example, The Lender Signature:__; The Borrower Signature:__; The Witness Signature:__ etc.