If you are loaning money to a family member or close friend, you can secure the loan with this Demand Promissory Note template for the USA, under which the balance outstanding is forgiven on the death of lender.

The indebtedness secured by the Note is to be repaid in monthly payments, and can be prepaid without penalty. If the lender dies before the loan is completely repaid, any balance remaining unpaid at that time is forgiven.

This is a USA promissory note form in MS Word format, and can be edited as necessary to include all the specifics of your transaction.