The purpose of this form is to inform the signer that their real estate is being held as collateral. Click Here To Download."Collateral" shall mean all collateral described in (i) this Borrower Loan Agreement. This collateral agreement template is what you need to secure an item of value as collateral for monetary debt. 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. 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. Posting a property bond means you pledge the value of real property to the court to guarantee the defendant will appear in court. This Agreement is between the City of San José, a municipal corporation ("City"), and Franklin Energy.