Sometimes your friends, family members, relatives or acquaintances lend you money due to financial difficulties. Because of the close relationship between you and the borrower, you pay the borrower a sum of money like a friendly loan. The borrower has promised you that he will pay such a sum of money within a set period of time. The contract of sale and sale, the loan or facility agreement and the fees performed in Malaysia must be affixed within thirty days of their execution. If the contract of sale, the loan or facility agreement and the royalty are executed outside Malaysia, the stamp is set at 30 days after the first receipt in Malaysia. Therefore, it would be desirable for the buyer to pay the tax in protest and pursue it at the same time as the opposition. (a) RM25.00 or 5% of the deficient fee, whichever is greater, if stamped within three months of the date of the stamp; The stamp duty levied on the sales contract amounts to RM10. As for the transfer protocol, the tax rates are as follows: – land (i.e. fixed ownership) is a good method to insure the amount borrowed. To do this, there are five steps: (b) A friendly credit agreement must not be used for illegal purposes. The contract must consist of, among other things, complete conditions: it is advisable to conclude a written friendly credit agreement with the borrower.
The agreement is signed by both parties. If the borrower is in arrears in paying the friendly loan, you can ask a lawyer to demand against the borrower the amount of the unpaid credit. Step 5 – After receipt of the judgment and with the reservation of the holders of pledge rights, the lender can file an application with the court to obtain a sale order. The property is then sold, and the lender has the right to take the remaining balance of the loan from the proceeds of the sale. And any balance of the sale goes to the borrower. If he succeeds, he can recover the stamp duty paid in excess from the collector. If the buyer is not satisfied with the verification carried out by the stamp duty collector, he may appeal to the High Court within 21 days from the date on which the buyer was informed in writing of the result of the verification. Sometimes borrowers fail to repay the amount borrowed.
It may be that the borrower is difficult and uncooperative, or the borrower simply does not have money to repay the loan. Lenders can avoid these frustrations by ensuring that the borrower agrees to provide security in exchange for the loan. The types of securities described below are personal guarantees, land and shares. The first implication is that the Friendly Loan Agreement is legally considered inconclusive. This does not mean, however, that the borrower does not have to repay the amount borrowed. The loan must be repaid in accordance with section 66 of the 1950 contract, which provides that “if an agreement is found to be void or if a contract becomes void, any person who has benefited from the agreement or contract is obliged to reinstate or compensate for it. to the person from whom he received it” (see also Muhibbah Teguh Sdn Bhd v Yaacob Mat Yim  4 CLJ 853]. .