The loan agreement should clearly state how the money is repaid and what happens when the borrower is unable to repay. However, it is important to note that family credit contracts are completely unsecured, since the person lending the money is a family member or close friend. This means that there are no assets as collateral in case the family member does not repay the money. So how can you get your money back if the family member or friend doesn`t respect the agreement? Well, the only solution you will have is to go through a lawsuit or a small appeals court. This way, you can be sure to get your money back legally from your family member. Can I write a personal credit contract between family members? A written loan agreement guarantees equity and protects both the borrower and the lender. The parties can limit disputes by clearly tearing the terms of the agreement. You should establish a great payment plan and a credit plan that works for you. If your family or friend doesn`t agree with the schedule, don`t lend them the money. A loan agreement is a written contract between two parties – a lender and a borrower – that can be obtained in court if a party does not maintain its end. Find the problem. Are there other ways to help in addition to financial assistance? You should keep in mind that money is not always the solution to all problems.

Ask your family member or friend if you can help in any other way, with the exception of the credit transfer. ☐ The loan is guaranteed by guarantees. The borrower agrees that the loan will be repaid in full by – A loan agreement is more complete than a debt and contains clauses on the entire agreement, additional expenses and the modification process (i.e., such as changing the terms of the agreement). Use a loan contract for large-scale loans or from several lenders. Use a debt note for loans from non-traditional lenders such as individuals or businesses rather than banks or credit unions.