Loan Agreement - Personal - Georgia

PERSONAL LOAN AGREEMENT — GEORGIA

Before you use this: This form is for one unsecured personal or household loan between private individuals, with an advance greater than $3,000 and less than $250,000. Use it for an occasional loan by an individual who is not operating a lending business. It allows only 0–16% annual simple interest and no additional lending charges. The 16% ceiling is a limit chosen for this form, not Georgia's general ceiling for this principal range.

This agreement is made on [__/__/____] between [LENDER FULL LEGAL NAME], of [LENDER ADDRESS] ("Lender"), and [BORROWER FULL LEGAL NAME], of [BORROWER ADDRESS] ("Borrower").

Principal: $[AMOUNT] (more than $3,000 and less than $250,000)
Annual simple interest rate: [____]% (0–16%; enter 0 for an interest-free loan)
Payment address or account: [________________________________]

Loan and funding

Lender agrees to advance the full principal above to Borrower in one transfer on [__/__/____] by [TRANSFER METHOD]. Borrower will use the funds for [PERSONAL OR HOUSEHOLD PURPOSE]. Lender will give Borrower written confirmation of the amount and date actually advanced. Borrower's repayment duty begins when funds are advanced and is limited to the amount actually received. If Lender advances less than the stated principal, the smaller amount bears no interest under this Agreement; interest or any further advance requires a separately reviewed agreement signed by both parties. This loan is unsecured.

Interest and repayment

Subject to the funding condition above, interest accrues only on unpaid principal at the annual simple rate above, calculated for each day at the annual rate on unpaid principal divided by 365 in an ordinary calendar year or by 366 in a leap calendar year, without compounding. Borrower will pay $[AMOUNT] first on [__/__/____] (choose a date after the advance from the 1st through the 28th), then on that same day of each following month until the final due date or earlier full payment. Each installment is limited to the unpaid principal and accrued interest then due. All unpaid principal and accrued interest are due on [__/__/____] (on or after the first scheduled payment date). Payments apply first to accrued interest and then to principal. Borrower may prepay all or part without charge; a partial prepayment does not postpone the next due date unless the parties sign a change.

The rate and payments written here are the full consideration for the loan. No origination fee, late fee, default interest, collection surcharge, or prepayment penalty is charged. No amount above the principal actually advanced is financed as a fee.

Missed payment and collection

If a payment is more than [____] days late, Lender may give Borrower written notice identifying the missed amount. If Borrower does not pay it within [____] days after receiving that notice, Lender may declare all remaining principal and accrued interest immediately due. Lender may pursue lawful collection remedies. Default does not increase the agreed interest rate or create a new charge.

Notices and changes

Notices may be personally delivered or mailed to the addresses above, or to a replacement address supplied in writing. Changes to this agreement must be written and signed by both parties. Georgia law governs. This is the parties' entire agreement for this advance.

Lender signature: ______________________________ Date: [__/__/____]
Printed name: [________________________________]

Borrower signature: ______________________________ Date: [__/__/____]
Printed name: [________________________________]

Georgia law reference

O.C.G.A. § 7-4-2(a)(1)(A) allows a written simple-interest rate and agreed repayment terms for the principal range used in this form, subject to § 7-4-18. Section 7-4-18(a) prohibits taking interest greater than five percent per month, including interest collected indirectly through fees or devices. This agreement's narrower 0–16% annual simple rate and no-fee terms are contractual choices.