Installment Sale and Security Agreement Template

This Installment Sale and Security Agreement (“Agreement”) is entered into on [Date], by and between:

Seller:
Name: __________________________
Address: __________________________
Email: __________________________
Phone: __________________________

Buyer:
Name: __________________________
Address: __________________________
Email: __________________________
Phone: __________________________

Collectively referred to as the “Parties.”

1. Sale of Goods

The Seller agrees to sell, and the Buyer agrees to purchase, the following goods:
[Detailed description of goods including model numbers, serial numbers, and condition]

Title to the goods shall remain with the Seller until the purchase price has been paid in full.

2. Purchase Price and Payment Schedule

• Total purchase price: $[Total Amount]

• Down payment due upon execution: $[Amount]

• Remaining balance of $[Amount] to be paid in [Number] installments as follows:

Payment NumberDue DateAmount1[Date]$[Amount]2[Date]$[Amount]………

Payments shall be made by [Payment Method]. Late payments shall incur a fee of [X]% of the overdue amount.

3. Security Interest

The Buyer grants the Seller a security interest in the goods until full payment is received.
The Seller may file any necessary financing statements to perfect and protect this interest under applicable law.

4. Delivery and Risk of Loss

• Delivery of the goods will occur on [Delivery Date] at [Delivery Location].

• Risk of loss passes to the Buyer upon delivery and acceptance of the goods.

5. Warranties

• The Seller warrants they are the lawful owner of the goods and have the right to sell them.

• The goods are sold “as-is” unless otherwise stated in Exhibit A – Warranty Terms.

6. Default

In the event of default by the Buyer, the Seller may:

• Accelerate the remaining balance due immediately.

• Repossess the goods, with or without court order, as permitted by law.

• Pursue legal remedies to recover amounts owed.

7. Insurance

The Buyer shall maintain insurance coverage for the goods until the purchase price is fully paid, naming the Seller as a loss payee.

8. Governing Law

This Agreement shall be governed by and construed under the laws of [State/Country].

9. Dispute Resolution

Disputes shall first be resolved through good-faith negotiation. If unresolved, they will be submitted to mediation or binding arbitration.

10. Entire Agreement

This Agreement constitutes the entire understanding between the Parties and supersedes all prior agreements and representations.

Signatures

Seller Signature: ____________________________ Date: _________
Printed Name & Title: _________________________________________

Buyer Signature: ____________________________ Date: _________
Printed Name & Title: _________________________________________