Each loan consists in the fact that one person undertakes to transfer to the other person a certain sum of money or things, while the person taking must return the same amount of the same grade and quality. In this article, we explain in an extremely accurate way what each loan agreement should contain. We invite you to read carefully!
What form does the loan agreement have to take?
It’s good to know that a loan agreement can in fact take any form. The exception are loans with a value greater than PLN 500. Then it is necessary to sign a relevant contract in writing. When the act stipulates that a given legal act must have a legal form, in accordance with the general rule, actions performed without observing the restricted form will be incompatible only if the act stipulates the rigor of nullity. The provisions setting out the rules for granting loans do not provide for nullity if the loan agreement has not been concluded in writing.
The loan provides that the lender undertakes to transfer to the person taking the person a certain amount of money or items, and the recipient must return the same amount of money or items intact.
Who can borrow money?
The Civil Code does not contain accurate information on the subject restrictions that would govern who exactly can grant loans. Thanks to this, any civil law entities can be parties to any loan agreement. Optional restrictions may be introduced by special provisions. A loan agreement is a type of consensual agreement that is defined as bilaterally binding. Its conclusion takes place when both parties agree on their own. The issue of the loan is not necessary to conclude such a contract.
The loan agreement is not a mutual agreement. Returning items of the same type or money does not match the benefit of the lender. The loan may be subject to additional payment – however, this is not a rule. It depends on the will of both parties to the contract. The subject of the loan can be both money and items marked solely by species. Only banknotes and coins are considered as money. The currency rule says that the subject of such an agreement can be any currency you choose – not only Polish zloty, but also the euro, dollar or franc. If the parties decide to choose a foreign currency, the borrower will have the right to return it in Polish currency. The exception to this rule is, of course, the situation in which the agreement contains separate guidelines in this regard.
Obligations of the parties to the loan agreement
Timely performance of the loan agreement is the borrower’s responsibility. In the event of delays in issuing the loan, he will respond to the general principles governing default. The borrower has the right to determine the claim for a loan. The statute of limitations expires after 6 months from when the loan was to be issued to him. The borrower must return the loan within a specified period .