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A Credit Agreement is a binding contract between a lender and borrower that spells out the terms of a loan, including repayment schedules, interest rates, and security arrangements. In New Zealand, these agreements must follow strict rules under the Credit Contracts and Consumer Finance Act (CCCFA), which protects borrowers from unfair lending practices.

The agreement typically covers key details like fees, default procedures, and borrower obligations. For Kiwi businesses and individuals, it serves as their roadmap for managing loans - from personal mortgages to business financing. Lenders must provide clear information about costs and terms, while borrowers need to understand their commitments before signing.

Use a Credit Agreement anytime you're lending or borrowing money in New Zealand - from home loans and car financing to business credit lines. These agreements become essential when structuring repayment terms, setting interest rates, and establishing security arrangements that protect both parties.

The CCCFA requires formal Credit Agreements for most lending scenarios, particularly when dealing with consumers or small businesses. They're crucial for major purchases, business expansion, or refinancing existing debt. Having a proper agreement in place helps avoid disputes, ensures compliance with NZ lending laws, and gives both parties clear expectations about their rights and obligations.

• Consumer Credit Contract: Used for personal loans and retail financing, with strict CCCFA compliance requirements and consumer protection features
• Employee Credit Card Agreement: Specialized agreement for company cards issued to staff, outlining usage policies and liability
• Money Lending Contract: General-purpose lending document for business loans and private lending arrangements
• Simple Line Of Credit Agreement: Flexible revolving credit arrangement for ongoing borrowing needs
• Money Lending Agreement: Comprehensive template for commercial lending with detailed security and repayment terms

• Banks and Financial Institutions: Primary lenders who draft and issue Credit Agreements, responsible for CCCFA compliance and loan administration
• Individual Borrowers: Consumers taking out personal loans, mortgages, or credit cards who must understand and comply with repayment terms
• Business Owners: Companies seeking financing for operations, equipment, or expansion who negotiate commercial lending terms
• Legal Practitioners: Lawyers who review and customize agreements to protect client interests and ensure regulatory compliance
• Credit Officers: Bank staff who assess applications, monitor compliance, and manage lending relationships with borrowers

• Borrower Details: Gather full legal names, addresses, contact information, and financial status documentation for all parties
• Loan Specifics: Define exact loan amount, interest rate, repayment schedule, and any security arrangements
• Risk Assessment: Review borrower's credit history, income verification, and ability to repay under CCCFA guidelines
• Compliance Check: Ensure agreement includes all mandatory disclosures required by NZ lending laws
• Document Generation: Use our platform to create a legally-sound Credit Agreement that automatically includes all required elements
• Final Review: Double-check all terms, conditions, and payment details before signing

• Party Details: Full legal names, addresses, and roles of lender and borrower(s)
• Loan Terms: Principal amount, interest rate, payment schedule, and total cost of credit
• Security Provisions: Details of any collateral, guarantees, or securities provided
• Default Conditions: Consequences of missed payments and remedies available to lender
• Disclosure Statement: CCCFA-mandated initial disclosure of key information
• Fees and Charges: Clear breakdown of all applicable fees, penalties, and charges
• Termination Rights: Conditions for early repayment and contract cancellation
• Signatures: Execution blocks for all parties with dates and witness requirements

A Credit Agreement differs significantly from an Intercreditor Agreement in both purpose and scope. While Credit Agreements establish the primary lending relationship between a borrower and lender, Intercreditor Agreements manage relationships between multiple lenders who have claims on the same borrower.

• Primary Focus: Credit Agreements outline loan terms, repayment schedules, and borrower obligations, while Intercreditor Agreements establish lender priorities and rights
• Parties Involved: Credit Agreements are between lender and borrower; Intercreditor Agreements operate between multiple lenders only
• Legal Requirements: Credit Agreements must comply with CCCFA consumer protection rules; Intercreditor Agreements focus on commercial arrangements between sophisticated parties
• Timing: Credit Agreements are created at loan origination; Intercreditor Agreements often come later when multiple lenders become involved