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The Friends And Family Loan Agreement is essential when individuals wish to formalize monetary loans between family members or friends in Singapore. This document helps prevent misunderstandings and potential disputes by clearly documenting the loan terms, including the amount, repayment schedule, and any interest arrangements. While less formal than commercial loans, it still provides legal protection under Singapore law and helps maintain positive personal relationships by ensuring clarity and accountability. The agreement is particularly useful for significant loan amounts or when the lending arrangement extends over a longer period.
