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In this tutorial, the host discusses how to write a payment agreement, which is a legally binding document between a lender and a borrower outlining the loan's terms, including the amount, payment schedule, and penalties. The process begins with drafting an opening agreement stating that the signer understands and agrees to their financial responsibilities, including the commitment to pay the specified amount within a designated time period. The next section elaborates on the statement of penalties for late payments, emphasizing that each agreement can specify different percentages and amounts for penalties. The tutorial includes the use of a template for guidance.
