When two parties make a money lending agreement, they are entering into a legal contract which defines the terms of the loan. This document outlines the specifics of the agreement such as the amount borrowed, interest rate, repayment period, and any collateral used as security for the loan. A money lending agreement format should include important details such as the names of both parties, the date of agreement, the nature of the loan, its purpose, and how it will be repaid. It should also include the obligations of each party, the consequences of defaulting on payments, and any additional terms the parties agree upon. By creating an effective and legally-binding money lending agreement, both parties can ensure their interests are taken care of.