The first section contains the terms that are to be used in the document and their definitions. The second section is concerned with the operational terms relevant to the agreement, which means that it points out the amount to be borrowed, the schedule of its repayment, and the interest on the repayment. The second section of the loan agreement is of special interest for the financial agents of the borrower.
The final fourth sections contains standard text including details such as contract information, the relationships that exist between the finance parties - in the event of more than one tender and more than one law that apply to the agreement.
One contract that you will need to have a working knowledge of is a construction loan agreement. Let's take a look at what a construction loan agreement is and why having one is so important.
Prior to entering into a loan agreement, the "borrower" first makes representations about his affairs surrounding his character, creditworthiness, cashflow, and any collateral that he may have available to pledge as security for a loan. These representations are taken into consideration and the lender then determines under what conditions (terms), if any, they are prepared to advance money.
loan agreement format
simple loan agreement
short form loan agreement