Financing Contract Agreement for Singapore

Financing Contract Agreement Template for Singapore

A Financing Contract Agreement under Singapore law is a legally binding document that establishes the terms and conditions for providing financial facilities between a lender and borrower. The agreement complies with Singapore's Banking Act, Securities and Futures Act, and other relevant financial regulations. It details the loan amount, interest rates, repayment terms, security arrangements, and obligations of all parties involved, while incorporating specific requirements set by the Monetary Authority of Singapore (MAS).

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What is a Financing Contract Agreement?

The Financing Contract Agreement is essential for any lending transaction in Singapore, providing a comprehensive framework for financial arrangements between parties. This document is commonly used when establishing credit facilities, term loans, or other financing arrangements, whether for corporate or individual borrowing. The agreement must comply with Singapore's strict financial regulations and typically includes detailed terms about the facility amount, interest calculations, repayment schedules, security arrangements, and events of default. It's particularly important that the document adheres to MAS guidelines and incorporates all necessary consumer protection measures where applicable.

What sections should be included in a Financing Contract Agreement?

1. Parties: Identification and details of the lender and borrower

2. Background: Context of the financing arrangement and purpose of the loan

3. Definitions: Key terms used throughout the agreement

4. Facility Amount and Purpose: Specification of loan amount and permitted use

5. Interest and Fees: Interest rate, calculation method, and applicable fees

6. Repayment Terms: Schedule and method of repayment

7. Conditions Precedent: Conditions that must be satisfied before drawdown

8. Representations and Warranties: Statements of fact by the borrower

9. Events of Default: Circumstances constituting default and consequences

What sections are optional to include in a Financing Contract Agreement?

1. Security Arrangements: Details of collateral and security - include when loan is secured

2. Guarantees: Terms of any guarantees provided - include when third-party guarantees are involved

3. Insurance Requirements: Required insurance coverage - include when specific insurance is required

4. Covenants: Positive and negative obligations - include for complex commercial loans

What schedules should be included in a Financing Contract Agreement?

1. Repayment Schedule: Detailed payment dates and amounts

2. Security Documents: List and copies of security documentation

3. Conditions Precedent Documents: List of required documents before drawdown

4. Form of Drawdown Notice: Template for requesting loan disbursement

5. Fee Schedule: Detailed breakdown of all applicable fees

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Singapore

Publisher

Genie AI

Document Type

Financing Agreement

Cost

Free to use
Relevant legal definitions
Industries

Banking Act (Cap. 19): Primary legislation governing banking institutions and financial services in Singapore, setting out licensing requirements and operational guidelines for financial institutions

Securities and Futures Act (Cap. 289): Regulates the activities and institutions in the securities and derivatives markets, including financing arrangements involving securities

Financial Advisers Act (Cap. 110): Governs the provision of financial advisory services and ensures proper disclosure and professional standards

Moneylenders Act (Cap. 188): Regulates moneylending activities and provides consumer protection in credit transactions

Contracts Act (Cap. 53): Fundamental law governing contract formation, validity, and enforcement, including essential elements like offer, acceptance, and consideration

Conveyancing and Law of Property Act (Cap. 61): Governs transactions involving real property and security interests in real estate

Companies Act (Cap. 50): Regulates corporate entities and their activities, including corporate borrowing and security arrangements

Personal Property Securities Act: Deals with security interests in movable property and personal property used as collateral

Consumer Protection (Fair Trading) Act: Protects consumer interests and ensures fair trading practices in financial transactions

Unfair Contract Terms Act: Regulates unfair terms in contracts and protects parties from unreasonable contract provisions

Stamp Duties Act (Cap. 312): Governs the imposition of stamp duties on financial instruments and property transactions

Personal Data Protection Act 2012: Regulates the collection, use, and disclosure of personal data in financial transactions

Civil Law Act (Cap. 43): Contains general provisions affecting civil law, including contract law and interest rates

MAS Guidelines and Directives: Regulatory guidelines and directives issued by the Monetary Authority of Singapore governing financial institutions and transactions

Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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