TRELOAR & TRELOAR

Loan Agreements

It is prudent to record in writing any agreements involving loans from one person to another.  By reducing the agreement to writing, any later disputes about whether the money was a gift or a loan are avoided. Disputes about the amount lent, whether there was interest due and the date for repayment are also avoided.

It is even more important to record a loan between close family members, by way of a Loan Agreement. Many such Loan Agreements record interest free loans which may be repayable on demand.

Loan Agreements are not expensive to prepare and can prevent misunderstandings which may have a catastrophic impact on you and your family.