The Unsecured Loan Confirmation Letter is a crucial document in Irish lending practice, used to formalize and document the terms of an unsecured loan arrangement. It is typically issued after loan approval but before or concurrent with the disbursement of funds. This document serves multiple purposes: it confirms the lender's commitment to provide the loan, documents the agreed terms and conditions, ensures compliance with Irish consumer credit laws and EU regulations, and provides the borrower with a clear record of their obligations. The letter typically follows approval of a loan application and internal credit assessment procedures, and must incorporate mandatory disclosures required under the Consumer Credit Act 1995 and the Consumer Protection Code 2012. It's particularly important in the Irish context as it helps ensure transparency in lending practices and supports regulatory compliance in the financial services sector.

1. Lender Details: Full legal name and contact information of the lending institution

2. Borrower Details: Full name and address of the borrower

3. Loan Reference: Unique identification number or reference for the loan

4. Loan Amount and Currency: Clear statement of the principal loan amount and currency

5. Interest Rate: Details of the interest rate, whether fixed or variable, and APR as required by Consumer Credit Act

6. Term of Loan: Duration of the loan and key dates including start date and maturity date

7. Repayment Terms: Payment schedule, frequency, and amount of repayments

8. Default Interest: Interest rate applicable to late payments or default situations

9. Bank Account Details: Account details for making repayments