Loan within the family
You are lending money to a child for a down payment on a home and want to document the terms clearly.
Sverige
Lending or borrowing money? Document it properly with a loan agreement that covers amount, interest, repayment schedule, and what happens in case of default.
Create Your Agreement NowFree to use — no credit card required
A loan agreement (promissory note) sets out the terms when a private individual or company lends money to someone else. The agreement documents the loan amount, interest, repayment schedule and what happens if the borrower fails to pay on time.
A clear written agreement avoids misunderstandings and gives both parties a legally binding document to rely on. The template is adapted to Swedish law and refers, among other things, to the Swedish Interest Act in case of late payment.
The agreement covers the following areas.
Loan agreements between private individuals are primarily governed by the Swedish Promissory Notes Act (1936:81) and general principles of contract law. A written and signed promissory note is strong evidence that a claim exists and on what terms.
The template provides a structured starting point under Swedish law. For more complex situations — for example larger amounts, collateral, business activities or international elements — you should consult a lawyer before signing the agreement.
Customise your loan agreement and get a legally binding promissory note in just a few minutes.
Create Your Agreement NowFree to use — no credit card required
You are lending money to a child for a down payment on a home and want to document the terms clearly.
A friend needs temporary financial help and you want a written agreement that protects both of you.
Your company is lending money to a business partner or shareholder and needs to document the claim.
You want to split repayment into equal monthly instalments instead of a lump sum. The template automatically calculates the monthly amount based on the loan amount, interest rate and term.
For larger amounts, the loan can be secured with collateral such as real estate, a tenant-owner apartment, a vehicle or other property. The template includes ready-made clauses granting the lender a security interest, together with provisions on registration and restriction on disposal — adapted to whether the collateral is real or personal property.
No, oral loan agreements are in principle valid as well, but they are very difficult to prove in case of a dispute. A written promissory note is strong evidence that the loan exists and on what terms.
There is no statutory maximum interest rate between private individuals, but unreasonably high interest may be adjusted by a court under section 36 of the Swedish Contracts Act. For commercial lending to consumers, special rules apply under the Swedish Consumer Credit Act.
With a lump-sum repayment, the entire principal and interest are repaid on a specified date. An annuity loan is repaid in equal monthly instalments where each payment includes both interest and amortisation. If you choose annuity, the template automatically calculates the monthly amount based on the loan amount, interest rate and term — you do not need to work it out yourself.
If the borrower fails to pay on time, the lender can send a written reminder. If payment is still not made, the loan can be called for immediate repayment and default interest accrues under the Swedish Interest Act. If non-payment continues, the claim can be enforced through the Swedish Enforcement Authority (Kronofogden).
No, a regular promissory note does not require witnesses to be valid. It is sufficient that both parties sign the agreement. For larger amounts, however, it can be practical to have witnesses as additional evidence.
It depends on what you have agreed. If nothing specific is stated in the agreement, the borrower normally has the right to repay early without extra fees. If the lender wants to reserve the right to interest for the full term, it should be expressly written in.
Yes. The template supports both real property (real estate) and personal property (tenant-owner apartment, vehicle, inventory, etc.) as collateral. For real property, the security interest is created through a mortgage and electronic mortgage deeds with the Swedish Land Registry (Lantmäteriet). For personal property, perfection is achieved through notice (denuntiation) to the tenant-owner association, registration with the Swedish Transport Agency for vehicles, or physical handover (tradition). The agreement also contains a restriction on disposal, a duty of care and an irrevocable power of attorney for the lender to enforce the registration measures.
If the borrower transfers, pledges or otherwise disposes of the collateral without the lender's written consent — or fails to cooperate in registering or perfecting the security interest — the lender is entitled to terminate the entire loan with immediate effect.
Free to use — no credit card required
Create Your Agreement Now