Most loans, often private loans, are often made on a verbal agreement. This puts the lender at risk and many have often suffered the inconveniences. This highlights the importance of having a credit agreement handy and being included in the credit process. Not only is a credit agreement legally binding, but it also guarantees the lender`s money during the credit repayment period. Late – If the borrower is in arrears due to non-payment, the interest rate is due to the balance of the loan until the loan is paid in full, in accordance with the agreement established by the lender. A credit agreement must be signed by both parties in order to avoid any subsequent dispute. â˜ Credit is secured by guarantees. The borrower agrees that, until full payment of the loan, the loan will be granted at the same time as the interest by _____ _____ how the loan is to be repaid. These include the date of repayment of the loan, as well as the method of payment. You can choose between monthly payments or a package. Depending on the credit selected, a legal agreement must be established with the terms of the credit agreement, including: If you decide to take out a private loan online, be sure to do so from a qualified and well-known bank, as you can often find competitive low interest rates.