¶¶Òõ¶ÌÊÓƵ

The Agreement To Pay Debt In Installments is essential when parties wish to formalize a structured repayment plan for an existing debt under Nigerian law. This document is commonly used when a debtor cannot immediately pay a full debt amount and the creditor agrees to accept payment over time. It's particularly relevant in both business-to-business and business-to-consumer contexts, providing a clear framework for debt resolution while ensuring compliance with Nigerian contract law, debt recovery regulations, and consumer protection requirements. The agreement typically includes critical elements such as the original debt amount, payment schedule, interest calculations, and default provisions, making it a vital tool for debt management and risk mitigation. It can be used for various types of debts, from commercial loans to trade credit, and helps prevent future disputes by clearly documenting the terms of repayment.

1. Parties: Identifies and defines the Creditor and Debtor with their full legal names and addresses

2. Background: Establishes the context of the original debt and the parties' agreement to enter into an installment payment arrangement

3. Definitions: Defines key terms used throughout the agreement including 'Debt', 'Installment Payments', 'Payment Date', etc.

4. Acknowledgment of Debt: Formal acknowledgment of the debt amount and its validity by the Debtor

5. Payment Terms: Details of the installment payments including amount, frequency, and method of payment

6. Duration: Specifies the term of the agreement and total number of installments

7. Default Provisions: Consequences of missing payments and definition of what constitutes default

8. Interest and Charges: Specification of any interest or late payment charges

9. Representations and Warranties: Basic warranties about the debt's validity and parties' capacity to enter agreement

10. Governing Law: Specifies that Nigerian law governs the agreement

11. Execution: Signature blocks and execution requirements