This forbearance agreement, created on [Created.Date], is entered into by and between [Sender.Company], the Lender, and [Client.Name], the Borrower. WHEREAS, the Borrower has previously entered into a loan agreement with the Lender, with a principal amount of [Loan.Principle] and an annual interest rate of Loan. APR.WHEREAS the Borrower has failed to adhere to the agreed schedule for repaying the said loan, and as a result, has defaulted on the loan agreement’s terms,WHEREAS, the Lender has agreed not to demand immediate payment of the total loan balance in accordance with the existing loan agreement and has instead opted to grant the Borrower an extended opportunity to bring the loan’s balance current,THEREFORE, The Borrower and Lender agree to the following terms of this forbearance agreement:
The Lender has agreed to extend the due date of the past due amount on the associated loan agreement by [Extension.Days] days. The Lender agrees to refrain from taking any action designed to demand or collect the loan’s balance prior to [Forbearance.ExpirationDate].
2. Absence of Waiver
This forbearance agreement shall not constitute a waiver of any right or term contained in the original loan agreement documents. The Lender shall continue to enjoy the full legal protections and benefits outlined in the original loan agreement.
The parties signing this forbearance agreement hereby warrant that they are authorized to enter into agreements on behalf of the parties involved in the associated loan agreement.
By signing below, the Lender and Borrower agree to the terms of this forbearance agreement as an addendum to the existing loan agreement.