Loan Agreement

Definitions

• Borrower shall mean an individual or a legal entity who has entered the Loan Agreement as a Borrower.
• Lender shall mean a legal entity that has entered the Loan Agreement as a Lender.
• Parties shall mean a joint reference to the Borrower and the Lender registered on the FinForta Platform who have entered into the present Loan agreement.
• Platform shall mean the FinForta Platform—a technology platform (both website and mobile application) through which both Parties shall operate, sign agreements, make payments, and maintain the Collateral. The Platform shall be treated as a party hereto under no circumstances. It shall not be considered a Loan intermediary for the purpose hereof or any legal relations between the Parties. Both Parties agree to act according to the Platform's Terms and Conditions, which both Parties have accepted before entering into this Agreement.
• Loan Amount shall mean the principal amount of Funds lent at Interest by the Lender to the Borrower and subject to repayment by the Borrower in accordance hereof.
• Loan Agreement shall mean the present Agreement concluded through the Platform between the Borrower and the Lender according to the Platform's Terms and Conditions.
• Loan Repayment shall mean the principal amount of this Loan together with accrued and unpaid Interest and all other charges, costs, and expenses, which is due and payable as is said herein.
• Funds shall mean Virtual and/or Fiat Currencies of Legal Tender when mentioned jointly.
• Collateral shall mean any appropriate Funds accepted by the Platform that may be used as Collateral for a Loan Agreement.
• LTV shall mean the ratio of the Loan Amount value to the value of the Collateral amount.

Subject of the Agreement

Under this Loan Agreement, the Lender provides the Borrower with a Loan in the Loan Amount of {Loan Amount} Euro (EUR) through the Platform with an interest rate of {Interest}% per annum. The payoff date shall be {Due Date}. Loan Agreement LTV {LTV}.

The Loan Amount shall be transferred to the Borrower's account immediately (but not later than in two working days) after Collateral is deposited and both Parties sign this Loan Agreement through the Platform.

The Borrower agrees to pledge a Collateral in {Collateral Amount} {Collateral Currency} to be held until repayment of the Loan Amount. The Collateral shall be locked upon the Borrower's commitment to the total obligations of this Agreement.

LTV shall not exceed 90% and must be monitored by the Borrower on the Platform.

Should the LTV breach the threshold level as mentioned herein, the Borrower must do one of the following actions:

• provide additional Funds for the Collateral until it reaches the LTV agreed upon in this Loan Agreement or
• repay part of the Loan Amount together with accrued and unpaid Interest to the Lender using the appropriate Funds or
• terminate the Loan Agreement, repay the Loan Amount with accrued and unpaid Interest.

The options mentioned above should be used through the relevant functionality available on the Platform.

In no event shall the Platform be obligated to notify or directly inform the Parties of any changes to LTV. It shall be the direct obligation of the Borrower to maintain the Collateral amount at the required level.

The Borrower can repay the Loan Amount earlier than the Loan Agreement requires. In this case, the Borrower shall pay only the accrued and unpaid Interest for the period the Loan was utilized.

The Lender may not demand any damages or compensation for early Loan Repayment.

Collateral

The Borrower shall transfer the Collateral of the required amount to the Platform. By signing this Loan Agreement, the Lender confirms that they accept the Collateral amount and may not demand any increase in the Collateral amount or any change in the type of the Collateral unless the Loan Agreement stipulates it.

The Platform or the related company shall keep the Collateral for the duration of this Loan Agreement. It shall be released for the benefit of one of the Parties by the provisions hereof and only upon fulfilling the required conditions as set herein.

If the Borrower does not fulfill the terms hereof and does not maintain the Collateral amount at a sufficient LTV, automatic liquidation and repayment of the Loan to the Lender may be executed. If liquidation is not possible, the Lender shall be given the total amount of the Collateral.

The Borrower may be provided with the functionality, subject to availability, to utilize the Collateral to pay the accrued and unpaid Loan Interest.

Suppose repayment of Interest using a drawdown of Collateral causes the LTV to breach the required level. In that case, the Borrower shall be required to replace the Collateral such that the LTV once again reaches the LTV agreed upon in this Loan Agreement.

Once the Borrower repays the Loan in full accordance with the conditions of this Loan Agreement, the Collateral shall be released back to the Borrower. The Collateral will be released in full only if no liquidations happen during the loan term; otherwise, only the remaining part of the Collateral will be removed.

If Collateral liquidation goes into action, the Platform collects a 7% (seven percent) commission.

Loan Repayment and Interest Payment

The Borrower shall repay the sum of the Loan Amount and the accrued and unpaid Interest by transferring the sum of the Loan and the sum of Interest through the relevant functionality available on the Platform.

The payments shall be made according to the repayment schedule for a Loan; in the event of early repayment, the accrued and unpaid Interest shall be paid in full for the period the Loan was utilized. The repayment schedule shall constitute an integral annex hereto.

Liability of the Parties

Both Parties confirm that they have the legal capacity and right to enter into this Loan Agreement, have no signs of insolvency, and are not under the insolvency procedures.

Both Parties shall bear all liability for any taxes they may have to pay by the applicable legislation of their jurisdiction.

Communication

The Parties shall send any notifications regarding this Loan Agreement through the Platform or as follows:

E-mail: info@finforta.com

Conclusion of the Agreement

The Lender and the Borrower confirm that they have familiarized themselves with the provisions and terms hereof and the Platform's Terms and Conditions, understand their rights and obligations arising from those and ensure that they accept the respective documents' rights and obligations and other provisions.

The Lender and the Borrower have confirmed their consent to conclude this Loan Agreement through the functionality of the Platform. The Loan Agreement shall be considered to have entered into force from the moment both Parties sign this Loan Agreement electronically. The Lender and the Borrower may familiarize themselves with the facts of the conclusion of this Loan Agreement and the concluded Loan Agreement in their individual Platform's User Account at any time or request it by writing to info@finforta.com.

Other Terms and Conditions

Peaceful negotiations between the Parties must resolve any disputes arising from the present Agreement. Should the negotiations fail, any Party to this Loan Agreement may turn to a competent court of the EU member state with an appropriate claim to resolve the issue by the EU law, which will remain the governing law for the needs of this Loan Agreement.

This Loan Agreement has been drawn up in English.

This Loan Agreement may be amended or modified only by a relevant annex signed by the Borrower and Lender through the functionality of the Platform.

If any of the provisions hereof are held to be invalid or unenforceable in whole or in part, the remaining provisions shall not be affected. They shall remain valid and enforceable as if the invalid or unenforceable parts had not been included herein.