Free Promissory Note Template IOU Form Samples. FREE PROMISSORY NOTE TEMPLATE IOU SAMPLEA promissory note or IOU is a signed promise to pay a sum of money debt or loan under specific terms and amount of time. Free Promissory Note Template. A promissory note is an important financial document that states the guarantee of payment of a certain sum by borrower to lender. Free Promissory Note Personal Loan' title='Free Promissory Note Personal Loan' />Borrower agrees to pay Lender the total amount of Enter Loan. Borrower and shall. Secured Promissory Note. The Free Promissory Note below is downloadable in Microsoft Word format. It is designed for an unsecured loan, and it requires that you calculate the amortization. TYPES OF PROMISSORYIOU NOTES Personal generally used in loans between family and friends. Commercial used by financial institutions, commercial lenders, banks. Real Estate used when a lien would be placed home, commercial property. Investments generally used to raise business capital, it has legal value and can be traded. Recovering damages and returns on investments are usually expected. IMPORTANT INFORMATION TO INCLUDE IN THE IOU NOTE Name and address of the LENDER or Holder, Bearer, Creditor, Payee, Obligee, Promisee, Seller, Service Provider. Name and address of the BORROWER or Maker, Debtor, Promisor, Payer, Obligor, Endorser, Buyer, Customer. Date when the note was made. Principal Amount. Place where the note was made. Place where payment must be made and time if necessary. Interest rate, penalties and late fees to be charged if any. If it is a secured document, include the description of the goods. Why Should You Write A PromissoryIOU Note Its a contract between the lender and the borrower. The Usability Engineering Lifecycle By Deborah Mayhew Pdf here. Written agreements avoid confusion. Notes are enforceable in a court of law. Peoples memories fade, become faulty or confused. Clarifies the expectations of the parties, terms of the loan and repayment schedule, options obligations, the interest rate, late fees, grace period, where the payments should be made, etc. A debt, tax or legal counsel should be consulted before signing any legal document to be used in a consumer credit transaction. It is always a good idea having a local attorney review your note to make sure it complies with state laws and can be held valid by a court of law. This SAMPLE PROMISSORYIOU NOTE is a simple template that can be modified to fit your specific needs. This document is Copyrighted and is intended for personal use ONLY. Principal amount                   DATE,. FOR VALUE RECEIVED, I, Borrower promise to pay. Lender the sum of Dollars, and interest at the yearly rate of on the unpaid balance as specified below. Repayment shall be made in weeklymonthly installments, consisting of per installment on the day of each weekmonth and continue through for weekmonths, or until the principal is paid in full. OR, Borrower will pay one lump payment in lawful money of the United States on. If the Borrower fails to make an installment payment when due or fails to comply with any other term of this promissory note, the loan will be considered in default. A late penalty charge of Dollars per monthday will be assessed until the account is brought current inclusive of the late charges, interest and applicable fees. Borrower agrees that until the principal and interest owed under this note are paid in full, this note will be secured by the describe property, such as a car or a house. Payments will be applied first to interest and then to principal. This note may be prepaid by the Borrower at any time in whole or in part without premium or penalty. In the event of the Borrowers death, the unpaid indebtedness remaining on the note shall be canceled. The Borrower must promptly inform the Lender of any change in name or address. If the Lender prevails in a lawsuit to collect on this note, Borrower will pay Lenders court costs, collection agency costs, and attorneys fees in an amount the court finds to be reasonable. IN WITNESS WHEREOF, I set my hand under seal this th day of, 2. I acknowledge receipt of a completed copy of this instrument. Borrowers Signature. Permanent Address Social Security Number Drivers Licence Number Notary Public SEAL My Commission Expires. In some cases, these additional information are requested Personal information Mailing address if different from permanent address. E mail address. Employer information Company name. Company address. Note Enforcement Information. A promissory note is a legal instrument that can be legally biding and enforceable by a court of law if certain conditions are present, such as Terms and conditions agreed by both parties. Amount of money. Terms of repayment. The acceptance of the offer. Timeline of payment or payments and the consequences if the borrower fails to do so. Interest rate andor penalties charged. Signature of both parties agreeing with the loan conditions of the contract. Grace periods or penalties for defaulting. When signed and agreed upon, the lender has legal authority to seek collection or restitution against the borrower for the amount of money loaned, plus interest and legal expenses in most cases. Best Rendering Software For Sketchup more. By signing a note, the borrower agrees to repay the loan that is guaranteed using the note, but it is not an assurance that the lender you will get his money back. It is used for simple loan transactions and effective as long as both parties fully understand what they are getting into. Make sure any document you find online complies with your states laws prior to executing it for business or personal use. If your case involves more complex issues, the assistance of a licensed legal professional is recommended before drafting and signing anything. Steps You Can Take To Collect The Debt. Enforcing a SECURED PROMISSORYIOU NOTE can be accomplished by taking possession of the secured item, or hiring a re possession company to do that for you. The enforcement of an UNSECURED PROMISSORYIOU NOTE is more complicated for being only a breach of contract on a promise to pay. First, take legal action by filing a petition in a court of law and get a judgement in your favor. Then, hire a collection services agency and initiate repossession proceedings against the borrower. If it fails, you can also seek to garnish the persons wages. If all fail, try selling the note to a specialized company which will then attempt to collect the transferred debt. A Note Cannot Be Enforced If Borrower proves heshe signed the document under extreme duress, under undue pressure from the lender. Contains extremely high interest rate. Lender wants to add penalties not spelled out in writing. Also, simply signing your name at the bottom of a blank page is not considered binding. When drafting your note, please make sure it complies with your statejurisdiction USURY LAWS. These laws define the maximum interest rate you are allowed to charge. Violating usury laws can have serious civil and sometimes criminal consequences. Also, your state may have limits which apply to the amount you can charge for late fees. Return from Promissory Note to Home page for Online credit card, financial and debt help. Chapter seven, Chapter eleven and chapter thirteen bankruptcy assistance. DISCLAIMER The law will vary depending on your state and the specifics of your case. The information provided by USAttorney. Legal. Services. com Free Promissory Letter is intended for educational purposes only. Fc Barcelona Theme For Windows 8'>Fc Barcelona Theme For Windows 8.