What to mention in loan agreement, for it to be binding.
Situation : I had given friendly loan for 6 month s, but the person evaded it for 2.5 yrs.now ready to give,but in installments.has given pdc of the same.But since another friends cheque bounced last month, I m insisting to have a binding agreement.
He says, simple promissory note, but I want to add ifs and buts, because, I have seen,he doesn't pay easily,keeps on postponing.
Should I make separate agreement for each month cheque?
Can I write, if fail to pay, interest will be Applied?
(Because that is the way to tighten the noose).
Should I mention about pdc cheques in agreement?
If he doesn't pay on the given date, then what action can I take?
On the given date,can I deposit the given pdc in bank? If yes, then should I mention the same in agreement?
If not, then how many days to wait for him to deposit, which he doesn't easily.
Since he will not mend easily,can I mention in agreement, if delayed, will have to pay penalty of 1% interest per month?
If I take action of one cheque,then what will happen to rest pdc's?
Should I mention that too in complaint if any?
Does the agreement stamp paper amount depend on the debt amount?
Lawyers answer this question
For More Details Contact On
Whatever you mention in the agreement you have to wait for years together to recover such loan. Better you take signed blank cheques and on its dishonor you may approach a criminal Court by filing cheque bounce case, it is the easiest method to recover the loans.
78 user found this answer helpful
Disclaimer : This answer is based on information given by you hence, It is just opinion of Lawyer. For specific answer you have to give details and facts and choose the Lawyer of your choice.
Lawyers: To answer this question, please Sign In
to your account or wait for admin approval.