SHY LOCK'S SIMPLE LOAN AGREEMENT - 05/06/07 TUE

(to get back to lexborneo.com click this link)

e-mail: Dear Lex,
My girl friend wants to borrow RM3,000.00 from me.
I love her deeply but I am scared she won’t repay
Me when the time comes. What shall I do? Do you have a sample loan agreement……
SHY LOCK

Well SHY LOCK, it looks like for you love is not blind
and you must certainly have your pound of flesh in more ways than one. Any way for what its worth here is a sample loan agreement. Remember its only a sample and you need to get legal advice to tailor it for the specific needs of your relationship. By the way if your girl friend defaults don’t be too hard on her ok. ………..
LEX CRAZY BORNEO


LOAN AGREEMENT

AN AGREEMENT made the …………

BETWEEN

MISS X (NRIC No……..) of …….. (hereinafter called “the Borrower”) of the one part;
AND

SHY LOCK (NRIC No: …….) of ……… (hereinafter collectively called “the Lender”) of the other part.


WHEREAS:

1. The Borrower has requested the Lender to ADVANCE them a loan of RINGGIT MALAYSIA … (RM…………..) ONLY (hereinafter referred to as “the said Loan”).

2. The Lender agrees to advance or grant the Borrower the said Loan on the following terms and conditions.


NOW IT IS HEREBY AGREED as follows:-

1. In consideration of the Loan of the sum of RINGGIT MALAYSIA ……….(RM…..) ONLY (hereinafter referred to as “the said Loan”) paid to the Borrower by the Lender (the receipt of which the Borrower hereby acknowledges) the Borrower HEREBY AGREES COVENANTS AND UNDERTAKES to repay the Lender the said Loan on or before the or on demand by the Lender in writing as provided for in Clause 2 herein below.

2. Notwithstanding any provisions to the contrary in this agreement, the Lender may by way of a SEVEN (7) days’ notice demand the repayment of the said Loan or any part thereof.

3. In the event that the Borrower shall:-

(a) default in payment of the said Loan or any part thereof.
(b) fail to observe or perform any of the agreements covenants stipulation terms and conditions on the part of the Borrower herein contained.
(c) a petition is presented or an order is made to declare the Borrower a bankrupt or subject to bankruptcy or court execution proceedings.
(d) The Borrower allows any legal suit or any judgment against the Borrower to remain unsatisfied or outstanding for a period of more than seven (7) days;
then and in any of such cases the said Loan for the time being owing shall immediately become payable by the Borrower to the Lender and the Lender shall forthwith become entitled to recover the same without previous notice to or concurrence on the part of the Borrower.

4. The Lender may at any time and without in any way affecting the security created:

(a) determine vary or increase the credit of other facility granted to the Borrower.
(b) grant to the or to any other surety or guarantor any time or indulgence.

5. The Borrower shall and hereby undertakes to pay bear all whatsoever costs charges registration and other fees stamp duty and other disbursements in any way connected with or arising out of this Agreement including all costs charges fees and other disbursements incurred by the Lender in enforcing its rights hereunder.

6. This Agreement shall be binding upon the executors and assigns of the Borrower and the successors-title and assigns of the Lender.



IN WITNESS WHEREOF the parties hereto have hereunto set their hands the day and year first above written.






SIGNED by )
THE LENDER )
in the presence of : )
)

………………………………



SIGNED by )
THE BORROWER )
in the presence of: )
)

…………………….