UNITED STATES
Never loan money - not even to family - without getting a Promissory Note from the borrower. Some of these forms are State-specific, but most of these downloadable templates can be used anywhere in the United States or its territories.
Loaning money to family and friends can often be a recipe for disaster. Even with an IOU or promissory note, sometimes the borrower will fail to repay the debt, and you will have to decide whether you should sue them for the money. If you do take them to court, your signed promissory note is proof that you made the loan, and that the borrower promised to repay it on the terms agreed to in the note.
But often the actual signing of a legal document makes the transaction more business-like, more like dealing with a bank. That in itself can act as a catalyst to ensure that the borrower makes the payments on time and honors the terms of the loan, especially when the borrower considers that you have a signed promise from him / her to repay the debt which will stand up as evidence in court.
USA Demand Promissory Note
Before you lend someone money, even if it's someone you know really well, you should have them sign a promissory note - like this downloadable Demand Promissory Note form.
- This is a simple form of Note that can be used throughout the United States.
- The note is payable on demand.
- The debt can be prepaid at any time without any prepayment penalty being charged.
- Simple interest is charged on the outstanding balance.
A Promissory Note is exactly what it sounds like - a promise to pay - and it's enforceable in court. Download the form right after you purchase it.
USA Demand Promissory Note for Interest-Free Loan
Get this USA Demand Promissory Note signed by a borrower to whom you are making an interest-free loan.
- You can use this form in any U.S. state.
- This is the kind of Promissory Note in connection with any loan for which no interest is being charged.
- No bonus or penalty will be charged if the borrower repays the loan early.
To download the Promissory Note form, add it to your cart and check out using your preferred method of payment.
USA Installment Note with Prepayment Fee
This form of Installment Promissory Note provides for fixed non-variable payments and a prepayment fee if the loan is paid out early.
- This legal form template can be used anywhere in the United States.
- The Note is secured by collateral belonging to the borrower.
- The borrower promises to repay the debt by a series of regular fixed installment payments.
- If the borrower elects to pay the debt earlier than the due date, the lender will charge a prepayment premium (fee).
- The Note contains an acceleration clause. If the borrower defaults in making a payment when it is due or becomes bankrupt or insolvent, the entire balance together with interest becomes immediately due and payable.
