Free Loan Agreement Templates (Word & PDF)
Legal
by baturtekelioglu
Lending money, even to a friend, goes smoother when the terms are in writing, and a loan agreement puts the amount, interest, and repayment schedule on record. This collection of 50 templates helps lenders and borrowers document personal loans, business deals, and promissory notes clearly from the start.
Each agreement is editable in Word and ready as a clean PDF for printing and signatures. Fill in the principal, rate, and payment dates, then keep a signed copy for your files. Usury and lending laws vary by state, so confirm the details locally before you sign. Download the version that fits your loan and protect both sides.
When to use this Loan Agreement template
- A small business owner lending $20,000 to a trusted partner for inventory needs needs to outline a 12-month repayment plan with 5% interest to align expectations and protect both parties from misunderstandings.
- A friend or family member lending $5,000 for a medical emergency should document the no-interest agreement with clear repayment terms to avoid strain on the relationship during a difficult time.
- A landlord lending $15,000 to a tenant for property repairs needs a formal loan agreement to ensure the tenant understands the secured nature of the loan and repayment consequences if they default.
- Two co-founders splitting equity but needing to borrow $30,000 from an outside investor must define the loan terms, including whether it converts to equity or remains a debt obligation, in a way that’s binding for all parties.
Which format should I download?
Use Word when you need to collaborate with others on the agreement, as it’s easily editable and supports tracked changes for revisions. Word is ideal if you’re drafting a more complex loan agreement that might require multiple rounds of negotiation or customization. Choose PDF when you need a polished, finalized version for signatures, especially if you’re sending it to the other party to sign electronically or print for wet signatures. PDFs also serve as a secure, unalterable record of the agreed-upon terms once finalized.
Choose from 50 Loan Agreement Templates
Loan Agreements
How to use this Loan Agreement template
What should I include in a loan agreement if the borrower is a business?
For a business loan, include the borrower’s legal name and structure, the loan purpose (e.g., equipment, expansion), collateral details if applicable, and any personal guarantees from owners. Specify whether the loan is secured or unsecured, and outline consequences for default, like repossession or legal action. This clarity helps protect the lender if the business struggles financially.
Can I use a loan agreement template if the loan includes interest but no collateral?
Yes, these templates cover unsecured loans with interest. Be sure to specify the interest rate (fixed or variable), payment frequency, and late fees. Since there’s no collateral, emphasize the borrower’s creditworthiness or personal guarantees to mitigate risk. Always consult a legal professional to ensure the terms comply with local lending laws for unsecured loans.
What’s the best way to handle a loan agreement if the borrower is in another country?
Clearly state the governing law (e.g., the lender’s home state or country) and the jurisdiction for dispute resolution. Include a section on currency (e.g., USD) and how exchange rates will be handled. Use PDF for electronic signatures via platforms like DocuSign, and consider consulting an international lawyer to ensure compliance with both countries’ laws. Avoid vague terms that could lead to cross-border legal complications.
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