Promissory note loan template

The details and conditions associated with a personal loan as well as the demands of the borrower are the factors that determine the choice of the template and the information that needs to be included. A promissory note can be very brief or quite comprehensive in nature with a separate repayment schedule attached.

However, the general details included in all the promissory notes are:. Although all the conditions are mentioned in the note and are duly signed, yet the note does not guarantee any repayment. The chances of default cannot be minimized with a promissory note. Nevertheless, this note is an essential document while lending and borrowing a personal loan, as it limits any misunderstandings and ambiguities as well as can be used as lawful evidence in the court in case of the default or any other reason.

Business October 8, October 8, Kate. Request Letter to Work from Home. Salary Acknowledgement Letter. A promissory note is an agreement to pay back a loan. Different types deal with different repayment structures and schedules. Who needs to understand and sign. Know the names and contact info of the borrower, lender, and guarantor if there is one. Know the loan amount, how the borrower will make payments, interest rate if you're charging it , and any other details.

Our agents are based in the US. On or before , for value received, the undersigned the "Borrower" promises to pay to the order of the "Holder" , in the manner and at the place provided below, the principal sum of. All payments of principal and interest under this note will be made in lawful money of the United States, without offset, deduction, or counterclaim, by wire transfer of immediately available funds to an account designated by the Holder in writing at least days after the effective date of this note or, if this designation is not made, by check mailed to the Holder at , , , , or at such other place as the Holder may designate in writing.

Principal and interest will be payable in consecutive monthly installments of , beginning on or before and continuing on the day of each month, until the principal and interest have been paid in full. Each payment will be credited first to interest and then to principal, and interest will cease to accrue on any principal paid.

Acceptance by the Holder of any payment differing from the designated installment payment listed above does not relieve the Borrower of the obligation to honor the requirements of this note. Accrued interest will be computed on the basis of a day or day year, as the case may be, based on the actual number of days elapsed in the period in which it accrues. The Borrower may prepay this note, in whole or in part, at any time before maturity without penalty or premium.

Any partial prepayment will be credited first to accrued interest, then to principal. No prepayment extends or postpones the maturity date of this note. This note is secured by certain assets of the Borrower in accordance with a separate security agreement dated between the Holder and the Borrower the "Security Agreement". If an Event of Default defined below occurs, the Holder will have the rights set forth below and in the Security Agreement. If any Event of Default occurs, all principal and other amounts owed under this note will become immediately due without any action by the Holder, the Borrower, or any other person.

The Holder, in addition to any rights and remedies available to the Holder under this note, may, in its sole discretion, pursue any legal or equitable remedies available to it under applicable law or in equity, including taking any of the following actions:. The Borrower hereby waives presentment, demand, notice of dishonor, notice of default or delinquency, notice of protest and nonpayment, notice of costs, expenses or losses and interest on those, notice of interest on interest and late charges, and diligence in taking any action to collect any sums owing under this note, including to the extent permitted by law waiving the pleading of any statute of limitations as a defense to any demand against the undersigned.

Acceptance by the Holder or any other holder of this note of any payment differing from the designated payments listed does not relieve the undersigned of the obligation to honor the requirements of this note. The Borrower shall pay all expenses of the collection of indebtedness evidenced by this note, including reasonable attorneys' fees and court costs in addition to other amounts due.

If any one or more of the provisions contained in this note is, for any reason, held to be invalid, illegal, or unenforceable in any respect, that invalidity, illegality, or unenforceability will not affect any other provisions of this note, but this note will be construed as if those invalid, illegal, or unenforceable provisions had never been contained in it, unless the deletion of those provisions would result in such a material change so as to cause completion of the transactions contemplated by this note to be unreasonable.

No waiver of a breach, failure of any condition, or any right or remedy contained in or granted by the provisions of this note will be effective unless it is in writing and signed by the party waiving the breach, failure, right, or remedy. No waiver of any breach, failure, right, or remedy will be deemed a waiver of any other breach, failure, right, or remedy, whether or not similar, and no waiver will constitute a continuing waiver, unless the writing so specifies.

The descriptive headings of the sections and subsections of this note are for convenience only, and do not affect this note's construction or interpretation. Each party is signing this agreement on the date stated opposite that party's signature.