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The Credit Payment Agreement Letter is a crucial document in Qatar's financial landscape, used to formalize credit arrangements between financial institutions and borrowers. It serves as a legally binding commitment that outlines payment terms, schedules, and obligations while ensuring compliance with both Qatar's civil law system and Sharia principles. This document is particularly important in Qatar's dual banking system, where both conventional and Islamic banking operate simultaneously. The letter typically includes details about the credit facility, payment terms, profit rates (instead of interest for Islamic compliance), security arrangements, and default provisions. It's commonly used for various financing needs, from business expansion to asset acquisition, and must comply with Qatar Central Bank regulations and, where applicable, Qatar Financial Centre requirements. The document's format combines the formality of a legal agreement with the more direct approach of a letter, making it accessible while maintaining its legal enforceability.

1. Letter Header: Full legal names and addresses of both parties, date, and reference number

2. Salutation: Formal greeting to the recipient

3. Subject Line: Clear identification of the letter's purpose - Credit Payment Agreement

4. Credit Amount and Terms: Specific amount of credit being extended and key financial terms

5. Payment Schedule: Detailed breakdown of payment dates, amounts, and method of payment

6. Profit Rate: Sharia-compliant profit rate and calculation method (avoiding conventional interest terminology)

7. Security and Guarantees: Any collateral or guarantees required for the credit facility

8. Default Provisions: Consequences of missed payments or breach of terms

9. Closing and Signature: Formal closing, signature blocks for both parties