Mohsin is in urgent need of cash. He goes to bank to get loan. The credits managers refused to grant a loan to Mohsin as he had nothing to provide as security against the load. The credit manager then told Mohsin that he will arrange a security but for that he has to pay him extra amount plus higher amount of interest rate than the prevailing rate. Mohsin agreed to the terms of the banker. The credit manager recorded the whole terms agreed by Mohsin keeping the recording limited to himself only, identify the nature of contract in-terms of its legitimacy furthermore describe in detail which particular essential of contract fits perfect to this situation and why?