Promissory Note
This promissory note documents a loan from the
lendor (the “payee”) to the borrower (the “maker”).
It provides for monthly payments by the maker
until the principal and accrued interest is paid back.
The form allows the user to choose the amount
loaned, the interest amount, and the monthly
amount due each month.
ALL INFORMATION AND FORMS ARE PROVIDED “AS IS” WITHOUT ANY WARRANTY,
EXPRESS, IMPLIED, OR OTHERWISE, INCLUDING AS TO THEIR LEGAL EFFECT AND
COMPLETENESS. They are for guidance and should be modified to meet your needs and the
© Copyright 2011 laws Inc. registered Use at your own risk. 1
Docstoc of your state.document proprietary, copy not Docstoc and anyone who participated in providing or
modifying any form is not creating or entering into an Attorney-Client relationship. Docstoc
does not provide legal advice. The information and forms are not a substitute for the advice of
your own attorney.
PROMISSORY NOTE
$____ [Instruction: Insert Amount] ___________ [Instruction: Insert Date]
FOR VALUE RECEIVED, the undersigned, ___________ [Instruction: Insert
Borrower Name] ("Maker") promises to pay to the order of ___________ [Instruction:
Insert Lendor Name] ("Payee"), in “Monthly Installments” as defined below, at
___________ [Instruction: Address] (or at such other address as may subsequently be
designated by Payee by written notice to Maker) the sum of ___________ Dollars
($____) [Instruction: Insert Amount], together with compound interest, from the date
hereof until paid in full, at the rate of ___________ (__%) per annum [Instruction:
Insert Percent]. All computations of interest will be made by Payee on the basis of a
three hundred sixty five (365) days year, for the actual number of days elapsed in the
relevant period (including the first day but excluding the last). In no event shall interest
to be paid hereon exceed the maximum rate permitted by applicable law and, if, for any
circumstances whatsoever fulfillment of any of the provisions of this Note shall require
exceeding such maximum rate, the obligation to be fulfilled shall be reduced to the limit
thereof; any sums received by Payee in excess of such maximum rate shall be applied to
the unpaid principal balance of this Note.
1. Payment and Prepayment.
A. Until the Loan or Note is paid in full, for whatever reason, the unpaid principal
and accrued interest shall be payable in monthly installments (“Monthly Installments”),
of ___________ Dollars ($____) [Instruction: Insert Amount] payable on the first of
each month (“Installment Due Date”), and continuing until the entire balance, including
the principal and all interest accrued, is paid in full.
B. Principal and interest on this Note shall be payable in lawful money of the United
States of America. All payments, when paid, shall be applied first to the payment of
accrued interest and then the balance thereof to principal.
C. Maker reserves the right to prepay this Note, in whole or in part, with no
prepayment penalty.
2. Remedies. If Maker material breaches any of its obligations under this Note or any
document or instrument securing this Note, all of the unpaid principal balance hereof,
together with all accrued but unpaid interest, shall be due and payable, at the option of the
Payee. Failure to exercise this option shall not constitute a waiver of the right to exercise
the same in the event of any subsequent default. Maker shall pay all reasonable costs of
collection, including without limitation, court costs, reasonable attorney’s fees and
expenses, and all other expenses of collection permitted by law. Maker expressly waives
presentment, protest and demand, notice of protest, demand and dishonor and
nonpayment of this Note as well as all other notices of any kind.
© Copyright 2011 Docstoc Inc. registered document proprietary, copy not 2
3. Miscellaneous.
A. All notices, requests, demands and other communications hereunder shall be in
writing delivered by registered or certified mail, return receipt requested, postage prepaid,
at the addresses’ first indicated above, or at such other address as the parties may
designate by valid notice.
B. Maker will not assign or transfer any of its benefits or obligations arising under
this Note.
C. In the event any one or more of the provisions of this Note shall, for any reason,
be held to be invalid, illegal or unenforceable, the same shall not affect any other
provision of this Note and the remaining provisions of the Note shall remain in full force
and effect.
D. No waiver or modification of any of the terms or provisions of this Note shall be
valid or binding unless set forth in a writing signed by a duly authorized officer of Payee,
and then only to the extent therein specifically set forth. If more than one person
executes this Note, their obligations hereunder shall be joint and several.
E. This Note and all acts and transactions pursuant hereto and the rights and
obligations of the parties hereto shall be governed in accordance with the laws of the
State of _____________, [Instruction: Insert State], applicable to agreements to be
wholly performed therein, with jurisdiction exclusive to the Federal and State courts
located in the County of _____________ [Instruction: Insert County], State of
______________ [Instruction: Insert State].
IN WITNESS WHEREOF, Maker has executed this Note as of the day and year first
written above.
MAKER:
________________________________ [Instruction: sign]
By: ___________________________ [Instruction: Insert Name of Signatory]
Title: ___________________________ [Instruction: Insert Title of Signatory]
© Copyright 2011 Docstoc Inc. registered document proprietary, copy not 3