LOAN REPAYMENT PLAN — VARIATION TO ORIGINAL LOAN AGREEMENT

This Variation Agreement is made on [agreementDate] between:

(1) [lenderName] of [lenderAddress] (the "Lender"); and

(2) [borrowerName] of [borrowerAddress] (the "Borrower").

1. Background

1.1. The Lender lent the Borrower £[originalAmount] under a loan agreement dated [originalLoanDate] (the "Original Loan Agreement").

1.2. The current outstanding balance on the Original Loan Agreement is £[currentBalance] (the "Outstanding Balance").

1.3. The parties have agreed to vary the repayment schedule.

2. New repayment schedule

2.1. From the Effective Date, the Borrower will repay the Outstanding Balance by [totalInstalments] monthly instalments of £[newInstalmentAmount] each.

2.2. The first instalment is due on [firstInstalmentDate], with subsequent instalments due on the same day of each monthly period thereafter.

2.3. Interest: 0% per year, calculated on the reducing balance.

2.4. Each instalment is applied first to interest accrued, then to the Outstanding Balance.

2.5. Final instalment may be smaller to clear the remaining balance.

3. Method of payment

3.1. Payments will be made by bank transfer to the Lender's account, references to be agreed.

4. No default — fresh start

4.1. The Lender confirms that, on signing this Agreement and the Borrower paying the first instalment by the due date, the Lender will not pursue any default or breach of the Original Loan Agreement that occurred before the Effective Date.

4.2. This is conditional on the Borrower making each new instalment by its due date.

5. Consequences of missed payments

5.1. If the Borrower misses an instalment by more than 14 days, the Lender may:

(a) treat the entire Outstanding Balance as immediately due and payable; and

(b) charge interest on the outstanding balance at the rate above plus 4% per year additional default interest.

6. Acceleration on improvement

6.1. The Borrower may at any time make additional payments or pay the entire Outstanding Balance early without penalty.

7. Other terms

7.1. All other terms of the Original Loan Agreement (governing law, jurisdiction, dispute resolution, security, guarantors) remain in force unless inconsistent with this Variation, in which case this Variation prevails.

8. Effect

8.1. This Agreement is binding on the parties, their personal representatives, and successors.

9. Governing law

9.1. This Agreement is governed by the law of England and Wales. The courts of England and Wales have exclusive jurisdiction.

Signed by [lenderName]:

Signature: _________________________ Date: ____________________________

Signed by [borrowerName]:

Signature: _________________________ Date: ____________________________

Repayment schedule (record)

Keep this section for your records to track payments:

| Instalment | Due date | Amount | Paid date | Balance remaining | |---|---|---|---|---| | 1 | [firstInstalmentDate] | £[newInstalmentAmount] | | | | 2 | | £[newInstalmentAmount] | | | | 3 | | £[newInstalmentAmount] | | | | ... | | | | |

This template is provided by UKContracts.uk as a starting point only.