Loan Request Letter Sample

A loan request letter is a formal document used to apply for a loan from a financial institution or private lender. This letter should include specific information to support the loan application. Below is a sample loan request letter that provides a comprehensive structure for requesting a loan.

[Your Name]
[Your Address]
[City, State, ZIP Code]
[Email Address]
[Phone Number]

[Date]

[Lender's Name]
[Lender's Title]
[Lender's Company/Bank Name]
[Lender's Address]
[City, State, ZIP Code]

Dear [Lender's Name],

I am writing to formally request a loan of [Amount] from [Lender's Company/Bank Name]. I am seeking this loan to [briefly explain the purpose of the loan, e.g., expand my business, purchase a new vehicle, renovate my home, etc.].

Purpose of Loan

The primary reason for requesting this loan is [provide a detailed explanation of the purpose, including how the loan will be used, any anticipated benefits, and why this loan is essential for your needs]. For instance, if the loan is for business expansion, outline how the funds will help grow the business, increase revenue, or create jobs.

Repayment Plan

I am committed to repaying the loan within [specific period, e.g., 5 years] with a proposed interest rate of [proposed interest rate or mention if you are open to negotiation]. Based on my financial situation, I am confident that I will be able to meet the monthly payments as outlined in the attached repayment schedule.

Financial Information

To support my loan application, I have included the following documents:

• Income Statement: Provides an overview of my income over the past [number of years, e.g., 2 years].
• Credit Report: Demonstrates my creditworthiness and history of timely payments.
• Business Plan: (If applicable) Details the operational and financial plans for the use of the loan.
• Bank Statements: Shows my current financial standing and liquidity.

Personal and Financial Background

I have been a customer of [Lender's Company/Bank Name] for [number of years] and have always maintained a positive account balance. My credit score is [Credit Score], and I have a stable source of income through [employment/business]. Attached are references and documentation to verify my financial stability.

Conclusion

I appreciate your consideration of my loan request. I am confident that [Lender's Company/Bank Name] will find my application thorough and well-supported. I am available for a meeting at your earliest convenience to discuss this loan application further.

Thank you for your time and consideration.

Sincerely,

[Your Name]

Attachments:

• Income Statement
• Credit Report
• Business Plan (if applicable)
• Bank Statements
• References