Document background
The Loan And Guarantee Agreement is a crucial financial instrument used in Singapore when a third party's guarantee is required to secure a loan facility. This document is particularly relevant when the borrower's creditworthiness alone may not satisfy the lender's requirements, necessitating additional security through a guarantee. The agreement covers essential elements including loan terms, repayment schedules, interest rates, and the scope of the guarantee, all structured within Singapore's legal framework. It's commonly used in corporate financing, property transactions, and business expansion scenarios where additional security is required beyond the primary borrower's obligations.
