Credit Agreement | Practical Law

Credit Agreement | Practical Law

Credit Agreement

Credit Agreement

Practical Law Glossary Item 8-386-1733 (Approx. 2 pages)

Glossary

Credit Agreement

Also known as a loan agreement. The main transaction document for a loan financing between one or more lenders and a borrower. It sets out the:
  • Terms of the loan.
  • Borrowing and repayment procedures and the calculation of interest and fees.
  • Liabilities and obligations of the parties.
While each deal has its own unique set of issues, almost all credit agreements have the same key provisions and structure. Other transaction documents which may accompany the credit agreement in a financing transaction include promissory notes, guaranties and security agreements. For more information on credit agreements, see Practice Note, Loan Agreement: Overview.