List all your known community and separate assets or debts. This collateral agreement template is what you need to secure an item of value as collateral for monetary debt.Borrower's equity is its ownership interest in the property. This Loan contains a Forgivability. A collateral loan agreement is a legal agreement, much like a standard loan agreement, but the borrower has put up assets as security for the loan. Are you looking for a loan agreement form in California? Download our free California Loan Agreement Form which is available as PDF or Word documents.