Use this template form to prepare an Installment Promissory Note between a commercial lender and a borrower, under which the borrower agrees to set up a deposit account with the lender and make a specified minimum deposit in the account at regular intervals (such as monthly), as security against default by the borrower.

The Note contains an acceleration clause, meaning that if the borrower defaults in a payment or becomes bankrupt or insolvent, the entire balance together with interest becomes immediately due and payable. It also contains a provision that the borrower must pay liquidated damages if the borrower defaults in making a payment.

This generic Installment Note form is in MS Word format, and can be edited as necessary to include all the specifics of your transaction.