Loan Agreement Thai

IN WITNESS WHEREOF, the parties executed this agreement on the aforementioned date. Section 641. A loan to be used is only concluded upon the delivery of the borrowed property. A loan agreement is entered into between a lender and a borrower. 1. a) BORROWER is the loan of … use. (……………..) „LOAN“), obtained by LENDER for investments in a Thai limited company on its behalf or on behalf of its nominees, as can be agreed from time to time between LENDER and BORROWER. When a person or business enters into a loan agreement either as a borrower or a lender, the author recommends, in the interest of clarity and good business practice, that a written loan contract be prepared covering the following key issues: if a loan agreement does not set the applicable interest rate, the CCC provides that the applicable interest rate is 7.5% per annum9. This agreement and its annexes constitute the whole agreement and immediately resolve all previous agreements and amendments between the parties with respect to the purpose of this agreement.

In the event of a discrepancy between the terms of this agreement and its annexes and the provisions of previous agreements and amendments, the provisions of this agreement and its annexes are given priority. It should also be noted that Thai law stipulates that interest should not be borne by interest, but the CCC provides that parties to a loan may agree that interest owed for a loan (for no less than one year) is added to the principal/capital and that all interest is borne, but if this is to apply, the borrower and lender must agree in writing. Section 650. A consumer loan is a contract by which the lender entrusts the borrower with ownership of a certain amount of property consumed in the user and the borrower agrees to return a property of the same nature, quality and quantity. When a loan is granted for a sum of money and the lender accepts property or other property for the repayment of the loan, the amount of the debt thus extinguished is considered to be equal to the market value of the goods or property at the time and point of delivery. Therefore, if the products are accepted by the lender to repay the loan, it would be wise for the lender to prepare an independent report on the value of these products and have it signed by the borrower, who also confirms that assessment. It should be noted that a loan agreement is considered complete only if the borrowed property (i.e. in this case of money) is delivered to the borrower, therefore, the author recommends that, when a loan is granted, it be made by transfer or deposit into the bank account designated by the borrower, so that there is clear evidence as to when the loan is delivered and that the deposit/transfer slip be retained as evidence. The rapporteur recommends that the loan agreement be signed between the parties or before the loan is paid/paid into the borrower`s bank account.

If the lender and borrower accept a loan in which the loan amount must exceed 2,000 baht for the loan contract to be enforceable in Thai courts, the CCC requires that there be written proof of the loan signed by the borrower. With respect to this evidence, the author recommends that the best practice be for both the borrower and the lender to sign a loan agreement covering the main details of the loan, which are explained below in this article. Our credit contract design and verification department includes the important conditions that should be taken into account when preparing a loan contract: duration, interest rates and dispute resolution.