Payment Plan Agreement Template

PAYMENT PLAN AGREEMENT

This Payment Plan Agreement ("Agreement") is entered into between: Creditor: Acme Corp 123 Business Ave, Suite 400 Austin, TX 78701 Contact: James Mitchell, Director of Accounts Receivable Email: james.mitchell@acmecorp.com Phone: (555) 234-5678 Debtor: Pinnacle Solutions, LLC 4200 Commerce Blvd, Suite 300 Denver, CO 80239 Contact: Sarah Chen, Chief Financial Officer Email: s.chen@pinnaclesolutions.com Phone: (555) 876-5432

1. ACKNOWLEDGMENT OF DEBT

The Debtor acknowledges and agrees that it owes the Creditor the total sum of $12,000.00 (the "Outstanding Balance"), arising from the following unpaid invoices: Invoice #INV-2024-0712 $5,250.00 Due: December 15, 2024 Invoice #INV-2024-0847 $4,750.00 Due: February 15, 2025 Invoice #INV-2025-0093 $2,000.00 Due: March 1, 2025 ---------- Total Outstanding: $12,000.00 The Debtor further acknowledges that these invoices are valid, the services were rendered satisfactorily, and there are no disputes regarding the amounts owed.

2. PAYMENT SCHEDULE

The Debtor agrees to pay the Outstanding Balance in six (6) equal monthly installments of $2,000.00 each, according to the following schedule: Payment 1: $2,000.00 Due: April 15, 2025 Payment 2: $2,000.00 Due: May 15, 2025 Payment 3: $2,000.00 Due: June 15, 2025 Payment 4: $2,000.00 Due: July 15, 2025 Payment 5: $2,000.00 Due: August 15, 2025 Payment 6: $2,000.00 Due: September 15, 2025

3. PAYMENT METHOD

All payments shall be made by one of the following methods: (a) ACH transfer to the Creditor's account on file; (b) Wire transfer to: First National Bank, Routing #021000089, Account #8834521067; (c) Certified check payable to "Acme Corp," mailed to the Creditor's address above; or (d) Credit card payment via the Creditor's payment portal at pay.acmecorp.com. Payments are considered received on the date they are credited to the Creditor's account, not the date they are initiated by the Debtor.

4. LATE PAYMENTS AND GRACE PERIOD

(a) Grace Period. The Debtor shall have a grace period of seven (7) calendar days following each payment due date. If payment is received within the grace period, no late fee shall be assessed. (b) Late Fee. If any installment payment is not received within the grace period, the Debtor shall pay a late fee equal to five percent (5%) of the overdue installment amount ($100.00 per installment at the current payment amount). (c) Interest on Late Payments. Any installment not paid within thirty (30) days of its due date shall accrue interest at a rate of 1.5% per month (18% per annum) on the unpaid amount until paid.

5. ACCELERATION CLAUSE

If the Debtor fails to make two (2) or more installment payments (whether consecutive or not), the Creditor may, at its sole discretion and upon written notice to the Debtor, declare the entire remaining unpaid balance, together with all accrued late fees and interest, immediately due and payable. This is referred to as "acceleration" of the debt. Upon acceleration, the Creditor may pursue all available legal remedies, including but not limited to filing suit for the full accelerated balance, late fees, interest, collection costs, and reasonable attorney fees.

6. WAIVER OF ADDITIONAL LATE FEES ON ORIGINAL INVOICES

In consideration of the Debtor entering into this Agreement, the Creditor agrees to waive any late fees, interest, or penalties that have accrued on the original invoices listed in Section 1 prior to the date of this Agreement. This waiver is contingent upon the Debtor's full compliance with the payment schedule set forth in Section 2. If the Debtor defaults on this Agreement and the acceleration clause in Section 5 is triggered, all previously waived fees and interest shall be reinstated and added to the accelerated balance.

7. EFFECT ON SERVICES

Upon execution of this Agreement and receipt of the first installment payment, the Creditor agrees to maintain the Debtor's active service status. Services will continue uninterrupted as long as the Debtor remains in compliance with this Agreement. If the Debtor defaults and the acceleration clause is triggered, the Creditor reserves the right to immediately suspend all services until the full balance is paid.

8. EARLY PAYOFF

The Debtor may pay the remaining balance in full at any time without penalty. Early payoff will be applied to the principal balance, and no future installments will be required.

9. DISPUTE RESOLUTION

Any disputes arising under this Agreement shall be resolved through good-faith negotiation between the parties. If the parties cannot resolve a dispute within thirty (30) days, either party may submit the dispute to binding arbitration under the rules of the American Arbitration Association in Travis County, Texas, or pursue litigation in a court of competent jurisdiction in Travis County, Texas.

10. GOVERNING LAW

This Agreement shall be governed by and construed in accordance with the laws of the State of Texas, without regard to its conflict of laws provisions.

11. ENTIRE AGREEMENT

This Agreement constitutes the entire understanding between the parties with respect to the payment of the Outstanding Balance and supersedes all prior negotiations, representations, and agreements related thereto. This Agreement may not be modified except in writing signed by both parties.

12. SIGNATURES

By signing below, both parties agree to the terms and conditions set forth in this Agreement. CREDITOR: Acme Corp Name: James Mitchell Title: Director, Accounts Receivable Date: ____________________ DEBTOR: Pinnacle Solutions, LLC Name: Sarah Chen Title: Chief Financial Officer Date: ____________________