Can the affidavit be electronically signed?

Yes. Electronic signatures are generally lawful under the ESIGN Act (15 U.S.C. ch. 96) and UETA where adopted, provided intent, consent, attribution, and retention requirements are met.

Is notarization always required?

Many lenders require notarization for affiants; some states allow RON while others restrict it. Confirm lender policy and state notary rules before relying on remote notarization.

Who must sign the affidavit?

The authorized representative of the contracting party or borrower should sign. Provide printed name, title, and contact details to establish attribution and authority.

What supporting documents should accompany it?

Attach invoices, lien waivers, inspection reports, and photographs. Label exhibits and reconcile totals to prevent lender follow-ups and expedite approval.

How long does lender review take?

Review times vary; typical lender verification ranges from 5 to 10 business days, longer if an on-site inspection or additional documentation is required.

How do I fix errors after signing?

If the affidavit contains errors, prepare an amendment or a corrected affidavit that supersedes the prior version and obtain fresh signatures and notarization as needed.

Electronic Signature
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Legal
Loan Draw Affidavit Form

Loan Draw Affidavit Form

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LOAN DRAW AFFIDAVIT FORM

This Loan Draw Affidavit Form ("Affidavit") is executed as of by Borrower Name: and Lender Name: in connection with Loan Number: and relating to Property Address: .

Recitals

WHEREAS, Lender extended a construction loan or similar financing to Borrower evidenced by certain loan documents, security instruments and related agreements (collectively, the "Loan Documents"); and

WHEREAS, pursuant to the Loan Documents Borrower is required to submit a sworn draw request providing certifications and supporting documentation in order to obtain periodic disbursements of loan proceeds for work completed at the Property; and

WHEREAS, Borrower hereby submits this draw affidavit in support of Draw Request Number: and Amount Requested: $.

NOW THEREFORE, in consideration of the mutual covenants set forth herein and the terms of the Loan Documents, Borrower and Lender agree as follows:

1. Definitions

Capitalized terms used but not defined in this Affidavit have the meanings assigned in the Loan Documents. For purposes of this Affidavit, "Affiant" means the individual signing on behalf of Borrower and certifying under oath the accuracy of the matters set forth below.

2. Draw Request Details

Period Covered Primary Contractor / Payee Brief Description of Work Completed Itemized Schedule Attached Yes

3. Uses of Proceeds; Attachments

Borrower certifies that the Amount Requested will be used solely to pay the costs described in the itemized schedule and in accordance with the budget and approved Plans and Specifications. Attached to this Affidavit are the following documents delivered to Lender in support of this draw request:

Attachments (check all that apply) Invoices / Supplier Statements
Conditional/Unconditional Lien Waivers
Progress Photographs
Inspector or Architect Certification

4. Representations and Warranties of Borrower

Borrower, by the Affiant signing below, represents and warrants to Lender that, as of the date hereof: (a) all work for which disbursement is requested has been performed in accordance with the Plans and Specifications and in a good and workmanlike manner; (b) all amounts reflected on the attached invoices are due and owing and have not been paid except as disclosed herein; (c) there are no undisclosed material defaults under the Loan Documents by Borrower; (d) no voluntary liens, stop notices, bond claims, or other charges or encumbrances have been filed against the Property or the funds requested herein except for those specifically disclosed in the schedule below; and (e) the items identified for payment are necessary to complete the construction and to protect Lender’s security interest in the Property.

Disclosed Liens, Claims or Encumbrances (if none, state "None")

5. Conditions to Disbursement

Lender's obligation to disburse funds under this Affidavit is expressly subject to, and in addition to, the conditions precedent set forth in the Loan Documents and, without limitation, Lender's receipt and approval of satisfactory evidence of the matters certified herein, Lender's inspection or third-party verification that the work has been performed and that the requested disbursement properly protects Lender’s collateral, and Borrower’s compliance with all material terms of the Loan Documents.

6. Indemnity and Release

Borrower shall defend, indemnify and hold harmless Lender and its agents, employees and representatives from and against any and all claims, losses, damages, liabilities, costs and expenses (including reasonable attorneys' fees) arising out of any representation or warranty made herein that proves to be false or misleading, or out of payments made in reliance upon this Affidavit, except to the extent resulting from Lender’s gross negligence or willful misconduct.

7. Affiant's Certification

The Affiant, being duly sworn, under penalty of perjury, certifies that the statements contained in this Affidavit and the attachments are true, correct, and complete to the best of Affiant's knowledge and belief, and that Affiant is authorized to execute this Affidavit on behalf of Borrower.

Affiant Name Affiant Title / Capacity

8. Notices

All notices, demands or communications required or permitted under this Affidavit shall be in writing and delivered in accordance with the notice provisions of the Loan Documents. For convenience, the parties' mailing addresses for notices are set forth below and may be updated by written notice in accordance with this section.

Borrower Notice Address Lender Notice Address

9. Governing Law; Entire Agreement; Severability

This Affidavit shall be governed by and construed in accordance with the laws of the jurisdiction specified in the Loan Documents. This Affidavit, together with the Loan Documents, constitutes the entire agreement of the parties with respect to the subject matter hereof and supersedes all prior negotiations and agreements. If any provision of this Affidavit is held invalid or unenforceable, the remaining provisions shall remain in full force and effect.

10. Amendments; Waiver; Counterparts

Any amendment to this Affidavit must be in writing and signed by both Borrower and Lender. No waiver of any provision shall be effective unless in a written instrument signed by the party waiving compliance. This Affidavit may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one instrument.

11. Miscellaneous

Wire/Disbursement Instructions (if applicable) Additional Remarks

Borrower:

By:

Date:

Lender:

By:

Date:

What the Loan Draw Affidavit Form Is and when it’s used

A Loan Draw Affidavit Form is a sworn statement submitted to a lender or construction lender when requesting a disbursement of funds tied to a construction or renovation project. The affidavit typically certifies work completed, materials purchased, the draw amount requested, and that all subcontractors and suppliers have been paid or will be paid. It often accompanies invoices, lien waivers, and inspector reports. Many lenders require the affidavit to be signed and notarized; when executed electronically, ESIGN and UETA typically govern its enforceability across most U.S. jurisdictions.

Why a clear Loan Draw Affidavit matters to lenders and contractors

A complete affidavit documents progress, reduces lien exposure, and supports lender underwriting and audit trails. Properly prepared affidavits speed disbursements, clarify responsibilities between owner, contractor, and lender, and create a durable record when combined with notarization or an auditable e-signature.

Who typically prepares and signs a Loan Draw Affidavit

Parties involved range from lenders to on-site contractors; the form is a transactional record relied on by multiple stakeholders.

Lenders and loan administrators — review progress, release funds, require notarization or equivalent authentication to reduce risk.
General contractors and prime contractors — prepare and certify work completed, attach invoices, and coordinate subcontractor lien waivers.
Subcontractors/suppliers and owners — may be asked to provide supporting invoices or acknowledgements to validate payment claims.

Understanding each role helps prevent delays and ensures the affidavit is executed in the required order for valid disbursement.

Core sections a professional Loan Draw Affidavit should include

A consistent structure makes reviews faster and limits disputes. The affidavit should present project identification, a clear draw request, a precise description of completed work, payment certifications, supporting attachments, and signature/authentication sections.

Project ID

Include project name, loan number, property address, and lender reference to ensure funds are applied correctly and reduce clerical delays.

Draw Amount

State the numeric and written amount requested, list previous draws, and show remaining loan balance or retainage to justify the current disbursement.

Work Description

Summarize completed milestones and percentage complete by line item so the lender and inspector can verify progress against the schedule.

Payment Certification

Declare that contractors and suppliers listed have been paid or will be paid from this draw, and indicate any exceptions with explanatory notes.

Attachments

Attach invoices, lien waivers, inspection reports, and photos. Label each exhibit and reference it in the affidavit to streamline lender review.

Signature & Notary

Provide signature lines for the certifying officer, date, and a notary block. If using RON, include the audio-video record or notary session ID when required.

Step-by-step: completing and submitting a draw affidavit

Follow these sequential steps to prepare a compliant draw package and minimize lender follow-up requests.

01

Prepare documents: Gather invoices, lien waivers, photos, and inspection reports for the draw period.
02

Complete affidavit: Enter project and draw details, list attachments, and confirm amounts match supporting invoices.
03

Sign and notarize: Sign in front of a notary or complete RON where permitted; retain notarization proof.
04

Submit to lender: Deliver the affidavit and attachments per lender instructions (portal, email, or recorded submission).

Where a completed Loan Draw Affidavit goes next

After signing, the affidavit follows a short review and approval workflow that typically includes verification and disbursement steps.

Upload to lender: Submit via lender portal or secure email per loan instructions for review.
Assign reviewers: Loan administrator or inspector verifies attachments and on-site progress evidence.
Approve and fund: Lender authorizes payout or requests corrections if documentation is incomplete.
Archive record: Store the executed affidavit and attachments for audit and retention requirements.

Typical online workflow settings for e-submission and review

Configure your digital workflow to match lender requirements: authentication, file formats, routing order, and retention.

Field	Configuration
Authentication Method	Email + SMS code
File Format	PDF or PDF/A preferred
Routing Order	Contractor → Lender → Inspector
Retention Settings	Retain executed copy 7 years

Digital signing and delivery considerations

Choose a platform that supports secure signatures, notarization workflows, and the file formats your lender accepts.

File formats: PDF, PDF/A, DOCX
Integrations: Works with CRM and storage platforms
Authentication: Email, SMS, KBA options

Key security and compliance features to verify

In-transit Encryption: TLS 1.2/1.3

At-rest Encryption: AES-256

Audit Trail: Tamper-evident logs

HIPAA Support: BAA available

Regulatory Standards: ESIGN and UETA

Certifications: SOC 2 Type II

Typical timelines and lender processing expectations

Specific deadlines depend on the loan agreement. Below are common timelines and processing expectations to plan around.

Cutoff for monthly draws:

Often a fixed monthly date set by lender

Lender review time:

Typically 5–10 business days for verification

Inspection scheduling:

Expect 3–7 business days for on-site verification

Fund disbursement after approval:

Usually within 1–3 business days

Request for corrections:

Add 3–10 business days to cycle time

Common mistakes that delay draw processing

Incomplete supporting documents — missing invoices, unsigned lien waivers, or unlabeled exhibits often trigger lender re-requests and hold funding.
Mismatched legal names — differences between the certifying entity name and the loan documents create identity and payment routing issues.
Incorrect amounts or arithmetic — transposition errors between line items and the total draw cause reconciliation failures and slow approvals.
Improper notarization or RON mismatch — using a noncompliant notary method or missing required audio-video records can invalidate the affidavit.

Risks and potential consequences of an incorrect affidavit

Lien Exposure: Contractors may file liens

Payment Delay: Funds withheld

Contract Breach: Remedies and damages

Fraud Allegations: Civil or criminal risk

Tax Withholding: Backup withholding triggers

Recordkeeping: Audits and compliance gaps

Sample eSignature vendor pricing and capability comparison

Compare starting prices and common feature rows. signNow appears first per vendor ordering requirements and supports a full set of eSignature and compliance features.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day trial	Varies	Varies	Varies	Varies
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No

Frequently asked questions about Loan Draw Affidavit Forms

Answers to common execution, notarization, and submission questions to help avoid delays and ensure the affidavit meets lender and legal requirements.

Need help? Contact support

Can the affidavit be electronically signed?
Yes. Electronic signatures are generally lawful under the ESIGN Act (15 U.S.C. ch. 96) and UETA where adopted, provided intent, consent, attribution, and retention requirements are met.
Is notarization always required?
Many lenders require notarization for affiants; some states allow RON while others restrict it. Confirm lender policy and state notary rules before relying on remote notarization.
Who must sign the affidavit?
The authorized representative of the contracting party or borrower should sign. Provide printed name, title, and contact details to establish attribution and authority.
What supporting documents should accompany it?
Attach invoices, lien waivers, inspection reports, and photographs. Label exhibits and reconcile totals to prevent lender follow-ups and expedite approval.
How long does lender review take?
Review times vary; typical lender verification ranges from 5 to 10 business days, longer if an on-site inspection or additional documentation is required.
How do I fix errors after signing?
If the affidavit contains errors, prepare an amendment or a corrected affidavit that supersedes the prior version and obtain fresh signatures and notarization as needed.

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