LOAN AGREEMENT
Loan Agreement No:
This AGREEMENT is made the 24 day of May in the year 2026.
BETWEEN
M/s JS LOANS AND ADVANCES PVT LTD... (Lender)
AND
Mr./Ms. S/O __________
residing at
hereinafter called the 'Borrower(s)'
WHEREAS Borrower has requested for a Personal loan of sum of Rs for his/her personal needs.
Interest Rate: %
Tenure: Months
NOW THIS AGREEMENT WITNESS AS FOLLOWS:
1.1 The Company has agreed to grant a Loan for the purpose stated in the Application, on joint request of the Borrower and the Co-Borrower . The Loan to be sanctioned is described in Loan Schedule.
1.2 The said Loan shall carry Interest at the rate stated in Loan Schedule and will be computed monthly basis.
1.3 The said Loan is payable on demand, but for convenience, the Loan amount and the interest thereon shall be repaid in EMIs. The details (number and amount) in respect of EMls are described in Loan Schedule . This repayment schedule is without prejudice to the right of the Company to be paid on demand the entire Loan amount along with any other dues. Further, the computation/fixation of EMI will be without prejudice to the right the Company to re-compute the interest on the basis of the agreed rate.
1.4 The repayment shall commence as per the repayment scheme described in Loan schedule. Strict compliance with the repayment scheme is an essential condition for the grant of Loan.
1.5 Any delay in the repayment of the EMls would incur a flat charge per month or part thereof on delay. without prejudice to the other rights of the Company. The late payment charges are described in loan schedule. The aforementioned charge would not affect the obligation of strict compliance with repayment schedule being an essential condition for the grant of Loan
1.6 Any dishonoring of cheque would make the Borrower liable to a flat charge and in case of dishonoring or non-payment on the second Presentation, a further charge would be levied. The quantum of the charge on the cheque on the first dishonoring and the charge upon the Second dishonoring is described in Loan Schedule. The levy or charge upon dishonoring/non-payment charge upon the second dishonoring is described in Loan schedule. The levy of charge upon dishonoring/non-payment of the cheque to without prejudice to the rights of the Company under chapter XVII of the Negotiable instruments Act, 1881 as amended by the Banking Public Financial Institutions an Negotiable Instruments Laws (Amendment Act. No.66 of 1998) and/or any applicable laws.
1.7 The charges mentioned in Loan Schedule the Application are subject to change at the discretion of the Company without any intimation to the Borrower.
2. REPAYMENT 0F LOAN
(a) The repayment of the loan and the interest thereof, shall be made by the Borrower in installments. The details such as number, due dates and amount in respect of the installments are described in the Loan Schedule. The repayment schedule is Without prejudice to the right of the Lender to be paid on demand as contemplated under the agreement, the entire Loan amount along with other dues, Further, the computation/fixation of the installment will be without prejudice to the right of the Lender to re-compute the amount of installments and interest thereon, including in case it is discovered at any stage that the installments have been computed wrongly. The installments shall be payable as per the Loan schedule.
(b) The borrower/Co-borrower agree that time is the essence of the contract
(c) No notice, reminder or intimation will be given to the Borrower regarding his obligation to pay the installment regularly on due date. It shall entirety be the responsibility of the Borrower to ensure prompt and regular payment of the installment
3. Mode of Payment of the Installment
(a) The repayment shall be by way of post-dated cheques (PDC's) or by borrower‘s remittance by cash or by demand draft or any other acceptable modes of transfer of funds permitted under the Indian banking system to the Lender on the dates specified in the Loan Schedule, and shall commence as per the repayment schedule stipulated in the loan schedule, The Borrower acknowledges that strict compliance by him with the repayment schedule is an essential condition of the grant of the loan.
(b) No notice. reminder or intimation shall be given by the Lender to the Borrower prior to the presentation of any of the PDCs etc.
(c) if any or more than one or all of the PDC's delivered to by the Borrower pursuant to same.
(i) is/are lost, destroyed or misplaced while in the custody of the Lender or
(ii) become(s) non-cashable due to death, insolvency. lunacy. termination of authority or otherwise of the signatory or any or more of the signatories (if more than one) thereof or liquidation or any moratorium of the drawee bank.
then in such an event, the Borrower shall on receipt of the intimation of such loss, destruction or misplacement (as the case may be) from the Lender or immediately or the said cheques or any of those being non-cashable due to the reason mentioned above deliver to the Lender such numbers of cheques as are adequate to replace those that have been lost. Destroyed, misplaced or become non cashable, or make such suitable alternative arrangement for repayment of Loan as is acceptable to and is approved by the Lender.
(d) It is agreed and understood by the Borrower that non-presentation of the cheques by the Lender due to any reason whatsoever will not affect the liability of the Borrower to repay the Loan. The Lender shall not in any way be responsible for delay, omission or neglect in encashment, damage or loss of any cheques (already given or to be given by the borrower to the lender in terms hereof for any reason whatsoever.
(e) Without prejudice to any other rights or remedies the Lender may have under the Agreement and/or under the prevalent law, the Borrower shall be liable to pay a flat charge as stated in the Loan Schedule in case of dishonor of the PDCs etc. on the first presentation ,in case of dishonor of the second presentation further charges, as stated in the Loan schedule would be levied in respect of such dishonored PDCs. The quantum of the charge on the dishonoring of post-dated cheques etc. both on the first and second presentation is also stipulated in the Loan Schedule. The levy of charge upon dishonoring of the cheque is without prejudice to the rights of the lender under of the Negotiable instruments Act 18181 amended and as in force for the time being, and without prejudice to the other rights, which the Lender has under this Agreement or under law or equity.
(f) The changes mentioned in the Loan Schedule of the Agreement are subject to change at the sole discretion of the Lender
4. Alteration and Re-Scheduling of the Installment:
The Lender shall be entitled to ,if the Lender deems fit in the circumstances, after or re-schedule the installments in such manner and to such extent as the Lender may, in its sole discretion, decide and the repayment will be made by the Borrower as per the said alteration and re-scheduling notwithstanding anything stated in the Second Schedule.
5. Liability of the Borrower and the Co-borrower a joint and several
The liability of the Co—borrower(s) is joint and several and a coexistent with that of the borrower. The liability of the Co—borrower(s) to repay the Loan together with interest, etc. and to observe the terms and conditions of this Agreement/and any other Agreements, documents that may have been or may be executed by the borrower with the lender in respect of this loan or any other loan or loans, is joint and several and consequently the Lender shall have a sole discretion to proceed against both or either or them to recover the Loan and other charges payable by the Borrower to the Lender.
6. Security
6.1 The Borrower has executed a promissory note by way or security for the amount of Loan and interest hereon.
6.2 The Lender may require the Borrower to furnish such additional securities including additional guarantee(s) from third party, as the Lender may deem fit, in its sole discretion. In such an event the Borrower shall provide such additional security and in this regard execute such agreements, undertakings, documents power of attorney’s that may be required by the lender. The Borrower shall not revoke or terminate any such contracts, agreements, undertakings , documents etc. till of the amounts due and payable by the Borrower to the Lender under this Agreement have been paid in full and certified so by the Lender.
7. Arbitration, Mediation and Dispute Resolution:
Any question, dispute or claim arising out of or in connection with this agreement including any question on its existence, validity or termination shall be referred to and finally adjudicated through arbitration by a sole arbitrator and in accordance with the Arbitration and Conciliation Act, 1996. The sole arbitrator will be appointed by the Lender. The venue for such arbitration shall be Delhi, India.
The arbitration award given by the sole arbitrator appointed as aforesaid shall be final and binding on all the parties in connection with any question of facts or law arising in the course of arbitration or with respect to any award made.
Further, the present clause shall survive the termination of this agreement. The Courts at Delhi, India shall have exclusive jurisdiction (subject to the arbitration proceedings which are to be also conducted in Delhi, India) over any or all disputes arising out of this agreement. The present clause along with the clause for payment of interest, additional interest by the Borrower shall survive the termination of the agreement with the Borrower.
8. Appropriation of Payments
The Lender shall have a right to appropriate any payments due and payable under the Loan Agreement and made by the Borrower towards dues In the order the Lender deems fit, towards the following :-
9. Covenants/Undertakings of the Borrower
The Borrower Shall
10. Representations / Covenants / Undertakings of the Co-Borrower
10.1 The Co-borrower(s) has adequate legal capacity to enter into and execute the agreement. The Co-borrower is not restricted in any manner or prevented in any manner under any law, Statute, judgment, decree, ruling, and contract or otherwise from executing and undertaking the obligations in the manner provided in this Agreement Upon execution. this Agreement shall be a valid legally binding commitment of the Co-borrower(s) enforceable against him in terms or this Agreement The Co-borrower (in case or being a company) is duly organized and existing under the laws of India with power to enter into this Agreement to which he is or he shall be a party.
10.2 The Co-Borrower(s) further guarantees:
a) The payment and discharge by the Borrower of the Borrower(s) liabilities under the Loan Agreement. to the Lender, as per the Loan Schedule to the Loan Agreement
b} Upon the happening of any of the Events of Default as contemplated under the Loan Agreement, the immediate payment and discharge by the Borrower of the Borrower(s) Liabilities. without any demur or protest or objection of any nature whatsoever, the amount outstanding against the Loan extended by the Lender together with interest and all other amounts and charge payable by the Borrower or insured by the Lender, regarding the same.
c) The due performances of the terms and conditions provided under this Loan Agreement by the Borrower.
10.3 The Co-Borrower(s) hereby express agrees that he/she/it shall not require any proof in addition to the written demand by the Lender, made in any format, raised at the above mentioned address of the Co-borrower(s) indicating the happening of an Event of Default due to which the guarantee has been invoked. A certificate in writing signed by an officer or the Lender stating the amount due, at any particular time submitted to the Co-borrower shall be conclusive evidence against the Co-borrower(s).
10.4 The Co-borrower(s) shall make payment on first demand by the Lender without restrictions or conditions and notwithstanding any objections by the Borrower or any other person. The Co-borrower(s) shall not require the Lender to justify invocation of this guarantee and the Co-borrower(s} shall not have any recourse against the Lender in respect of any payments made hereunder.
10.5 The Co-Borrower(s) hereby express agrees that this guarantee is a continuing guarantee till all the liabilities of the Borrower under his Loan Agreement and that of the Co-Borrowers) hereunder are fully met. The liability of the Co-Borrower(s) is joint and several along with the liability of the Borrower.
10.6 The Co-Borrower(s) hereby express agrees that since his liability is co-extensive with that of the Borrower, for the purposes of attentiveness of this Guarantee, the Co-Borrower(s) are to be considered as principal debtors to the Lender for all dues payable under the provision or this Guarantee.
10.7 The Co-Borrower(s) hereby expressly agrees that they shall not be exonerated from their liability to the Lender under this Guarantee under any circumstances including without limitation ,the following :
10.8 The Co-Borrower(s) acknowledges the Co-borrower's obligation to pay arises immediately after dispatch of written notice by the Lender by registered post irrespective of whether the Borrower has been called upon a proceeded against
10.9 The Co-Borrower(s) hereby agrees to keep the Lender fully indemnified against all damage ,losses , costs , charges and expenses (including Attorney‘s fees} arising from or under or in connection with any failure of the Borrower to fulfill any of its obligations under the Loan Agreement.
10.10 The Co-Borrower(s) hereby acknowledges and agrees that the Lender shall be entitled to invoke this guarantee, whether it enforces its security under the Loan Agreement or not or take any proceeding (legal or otherwise) against the Co-borrower(s) prior to, simultaneously or subsequent to any proceeding (legal or otherwise) that against the Borrower or any other person or entity.
10.11 The guarantee by the Co-borrower shall interpret in accordance with the laws of India.
10.12 It is acknowledged by the Co-borrower(s) that the Lender shall be entitled to disclose any and all the information provided by him/them to the Lender under or along with a pursuant to this guarantee, to any credit bureau or any other person as the lender may deem fit and the Co-borrower(s) hereby agrees and undertakes not to display or question the some in any manner whatsoever.
10.13 The Co-borrower(s) agrees that the arbitration clause provided under the loan agreement binds the Co-borrower (a) and that the Co-borrower(s)Is/are also bound by the award passed by the arbitration
10.14 This guarantee by the Co-borrower shall come into effect from the date mentioned hereinabove and shall terminate only upon the Borrower and/or Co-borrower making full repayment to the Lender of the Loan, interest thereon and all other charges and dues payable by the Borrower to the Lender under the Loan Agreement and/or by the Co-borrower hereunder.
10.15 This guarantee by the Co-borrower is not personal to the Lender and may be assigned by the Lender in which or in part to any person (whether absolutely or as security) by the Lender along with the principal obligation of the Borrower.
11. Guarantee
11.1 The Guarantor hereby unconditionally and irrevocably guarantees the due payment and discharge by the Borrower of his liabilities hereunder to the Company 2(two) days after demand whether incurred before or after the date hereof to the full extent of the Loan extended by the Company together with interest and all charges thereon. The guarantee is a continuing guarantee until the liabilities are fully met. The liability of the Guarantor is joint and several along with the liability of me Borrower.
11.2 Guarantor hereby agrees that his liability is co-extensive with that of the Borrower and as between the company and the Guarantor, is to be considered as principal debtor to the Company for all dues.
11.3 The Guarantor and his heirs/executors expressly agree that they shall not be exonerated (i) by any variance made without their consent in the terms of this contract or transaction between the Company and the Borrower. (ii) by any contract made between the Company and the Borrower by which the Borrower is released from his liability under this Agreement, or (iii) by any act or omission of the Company the legal consequences of which may be discharged for the Guarantor or (iv) by the Company making a compromise with or promising to give time to or not to sue the Borrower or (v) by the Company losing the security. The Guarantor hereby waives all surety rights that may otherwise be available to him.
11.4 The Guarantor‘s obligation to pay arises 2 (two) days after dispatch of written notice by the Company by registered post irrespective of whether the Borrower has been called upon or proceeded against.
12. Lender's Rights
12.1 The occurrence of any default shall entitled the Borrower that the entire sum of money and all other sums and charges of whatsoever nature, including but not limited to interests which would have been payable by the Borrower if the agreement had run to its full term, have become due and payable forthwith, The Lender shall be entitled to charge an extra percentage at a rate specified in the Loan Schedule and the principal outstanding and on the other amounts due, and demand that all the aforesaid amounts be repaid to the Lender immediately. The Lender may be a notice in writing at its discretion call upon the Borrower to rectify the event of Default within the period specified in such notice.
12.2 The Lender shall be entitled to recover from the Borrower(s) all expenses (including legal costs of full indemnity basis) of any legal proceedings that may be filled by or on behalf of the Lender to enforce the provision of this Agreement. it is expressly clarified that the remedies referred to hereinabove shall be in addition to and without prejudice to any other remedy available to the Lender after under this Agreement, or under any other Agreement, or in law, or equity.
13. Set-Off and Lien
It is hereby agree and understood by the Borrower that, in the event the Borrower(s) default in payment of the installments/charges/fees, without prejudice to the right of termination , the lender shall have the right to set-off the amount of the Borrower’s/Co-borrower’s account that it may be holding with lender with the amount in respect of which the default has been committed under this agreement.
14. Representations by Borrower
The Borrower appreciating his obligations, represents and agrees as hereunder:
14.1 The loan amount shall be disbursed by the company directly to the Borrower. The loan amount may be disbursed by the company directly to the Co-Borrower or Jointly and such disbursement shall deemed to be disbursement of loan to the Borrower.
14.2 The Borrower shall be liable for expenses incurred by the Company along with interest while pursuing any remedy under the Negotiable Instrument Act, Criminal Procedure Code or at any other applicable laws.
14.3 In case the Loan is taken jointly by more than one Borrower, their liability shall be joint and several.
14.4 The Borrower agrees to give post-dated cheques for the repayment of the Loan and is fully cognizant of the fact that dishonor of cheese(s)is a criminal offence under the law. It is understood and acknowledged by the Borrower that any non-presentation of the post-dated cheques on the part of Company due to any reason whatsoever will not affect the liability of the Borrower to repay the Loan. The Borrower agrees to replace the cheque(s) if required by the Company.
14.5 The Borrower by way at security has also given a promissory note.
15. Event of Default
In the event of:
15.1 The Borrower failing to pay the loan or any fee charge/costs in a manner herein contained and any one EMI or any other amount due hereunder remains unpaid for a period of 30 (thirty) days from the date on which it is due; or
15.2 The Borrower submitting false documents to the Company; or
15.3 The Borrower committing breach of any of the representations terms, covenants and conditions herein contained or makes any misrepresentation of any facts to the Company at any stage prior to or during the tenure of this Agreement : or
15.4 The Borrower being an individual and insolvency notice is served on him, or being a corporation, a notice at winding-up is served upon it or a receiver is appointed or attachment is levied on any of its/their property or assets: or
15.5 There exists any other circumstances which in the sole opinion of the Company jeopardizes the Company’s interest .In any of the aforesaid events, the company shall be entitled to demand immediate repayment of the loan, along with interest accrued and the Company will be entitled to charge extra the prepayment charge as described in Loan Schedule or any other rate which is applicable at the time as per Company's policy on the principal outstanding.
16. Notices
16.1 A certificate in writing signed by an officer of the Lender stating the amount of any particular time due shall be conclusive both against Borrower(s] and Guarantor(s) shall be served.
16.2 Any change in address of the Borrower(s) and Guarantor(s) shall be notified to the Lender in writing within one week. Any notice, letter/other documents sent by the Lender to the Borrower(s) and Guarantor(s) shall be given at the address as stated in this Agreement, or the address notified by the Borrower Guarantor and shall be deemed to have been received by the Borrower(s) and Guarantor(s) 48hours after it has sent by registered post.
16.3 All correspondence shall be addressed to the Lender at the address of the Lender mentioned in the description of parties appearing in the preamble to this Agreement.
17. Cross Liability
The Borrower expressly accepts that if the Borrower fails to pay any monies when due or which may be declared due prior to the date when it would otherwise have become due or commits any other default under any agreement (including this Agreement) with the Company under which the Borrower is enjoying any financial/credit/other facility, then in such event the Company in its sole discretion, without prejudice to any of its specific rights under each of the agreements, shall be absolutely entitled to exercise all or any of its rights under any of the Borrower's agreement (including this Agreement) with the Company.
18. Consent to Disclosure
The borrower authorizes J S LOANS AND ADVANCES PRIVATE LIMITED. to disclose, from time to time any information relating to the Loan to any parent/subsidiary/affiliate/associate entity of the Company, and to third parties engaged by the Company, for purpose such as marketing of Products, recovery of outstanding dues etc. The Borrower understands that as a pro-condition, relating to grant of the loans/advances/other non-fund-based credit facilities tome/us, the Company requires their consent for the disclosure by the Company of, information and data relating to them, of the loan facility availed of/to be availed, by them, obligations assumed/to be assumed, by them, in relation thereto and default, if any committed by them, in discharge thereof.
Accordingly, the Borrower hereby agrees and gives consent for the disclosure by the Company of all or any such:
a) Information and data relating to them.
b) Information and data relating to any loan or credit facility availed of/to be availed, by them
c) Default, if any, committed by them, in discharge of such obligation, as the Company may deem appropriate and necessary to disclose and furnish to Credit Information Bureau (India) Limited and any other agency authorized in this behalf by RBI.
The Borrower declares that the information and data furnished by them to the Company are true and correct.
The Borrower undertakes that:
a) The Credit Information Bureau (India) Limited and any other agency so authorized may use, process the said information and data disclosed by the Company in the manner as deemed fit by them, and the Credit Information Bureau (India) Limited and another agency so authorized may furnish for consideration, the processed information and data or products thereof as prepared by them, to banks/financial institutions and other credit grantors or registered users, as may be specified by the Reserve Bank in this behalf.
19. Acceptance
I have read the entire Agreement constituting of Loan Schedule including the Material Details given in which have been filled in my presence. I shall be bound by all the conditions including the Material Details. The aforementioned Agreement and other documents have been explained to me in the language understood by me and l have understood the entire meaning of the various clauses.
I am aware that the lender shall agree to become a party to this Agreement only after satisfying itself with regard to all conditions and details filled by me in the Application and this Agreement in consonance with the lender's policy.
I agree that this Agreement shall be concluded and become legally binding on the date when the authorized officer of the lender signs
(Lender) (Guarantor-1) (Guarantor-2) (Co-Borrower) (Borrower)