This is an an agreement that should be issued where an employee takes out a loan from their employer.
Dear [Recipient first name],
This letter sets out the terms on which the organisation is prepared to advance you a loan of £[amount] in accordance with your request dated [date] for the purpose of [purchasing a season ticket/meeting welfare expenses/meeting payments as a result of financial hardship]:
The loan will be free of interest and repayable on a [monthly/weekly] basis, commencing on [date] at the rate of £[amount] per [month/week] by way of deduction from your salary.
In the event that you leave the organisations employment for whatever reason before the loan has been repaid in full, you will be required to reimburse the organisation for the outstanding amount of the loan.
The full Loan repayment agreement letter template will be available once purchased.
Reviewed 28 January 2022
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