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The agreement should clearly contain the pre-closure charges that are applied when the individual would like to close the loan before the time mentioned in the document. The other attribute that would calculate your EMI and the overall interest rate that is to be paid by you is the loan tenure.

One contract that you will need to have a working knowledge of is a construction loan agreement. Let's take a look at what a construction loan agreement is and why having one is so important.

To stay clear of any legal involvement, both parties concerned must comply and honor all agreements made. Since the loan agreement serves as a contract and legal documentation, a violation of the terms and agreements can lead to a legal case and the written agreement can function as proof in court.

The final fourth sections contains standard text including details such as contract information, the relationships that exist between the finance parties - in the event of more than one tender and more than one law that apply to the agreement.