what is a promissory note?

Question

what is to be written in a promissory note?

Answer 1

♥ ♥ a note where you promise to pay x amount of dollars for something you received from someone by a certain date ♥ ♥

Answer 2

A promissory note is a note promissing to pay a specific amount of money (e.g., $4,000) by a specific date. Including interest and fees so that it is not a specific amount of money takes it outside the definition of promissory note, although it may still be a legally enforcable agreement. Since you have been making multiple payments, your agreement with him was not in the form of a promissory note. Since your copy has no signatures, in and of itself it would not show agreement between him and you. Other actions such as your statements and his, and that you have made some payments, work to show agreement. Agreement is the key aspect, whether in writing or not. If you agree that you owe the money, pay it as soon as you can. Obviously this has gone on for years, so you can't blame your friend for wanting his money back, but he does seem to be being a bit hardnosed about it. By all means, keep records of your payments to him. The provision to bump the note from $4000 to $8000 as described sounds dubious. Generally laws do allow for interest and fees, but that's excessive. There's an old saying that the threat is worse than the exeution. He probably won't take outside measures to collect the final few hundred dollars, but do pay what you owe him. You can also remind him that the amount of money involved means you should report interest and fees paid to the IRS and the state tax authority, so he'll have to settle the income taxes with them. Look up the proper forms on their web sites, so it doesn't sound like hollow bluster, and be prepared to do just that. It may cool his jets a little.

Answer 3

A legal agreement that is signed by the borrower promising to repay the loan amount borrowed and agreeing to the terms and conditions of the loan made. The institution retains the original promissory note until the loan is paid in full. Upon payment in full the institution will mark the promissory note "PAID" and will provide it to the borrower.

Answer 4

A promissory note is basically the same thing as a contract. It is a signed agreement between to people to promise to pay back money loaned, or property loaned. It details out arrangments that the two parties agreed on. It also can be used in court.

Answer 5

A promissory note is a contract in which a borrower agrees (promises) to repay a debt to the lender.

Definition from Dictionary.com
1. a written promise to pay a specified sum of money to a designated person or to his or her order, or to the bearer of the note, at a fixed time or on demand.

2. a written promise to do or provide something, usually presented as a gift and claimable when or however the recipient chooses.

[Origin: 1700–10]

Answer 6

It's a legal contract that says that one party promises money, goods, and or services in exchange for some other money, goods, and or services. It's totally admissible in every court in the land.

For it to be valid, make sure you have the following things.

1- date of the agreement; date you are thus signing it

2 - names of both parties. Its also kind of good to have the address of each party, just to be thorough

3 - the act of exchange, or what is being given for what. Money for a computer, money for work rendered, etc.

4 - the time period. If someone is going to be paying something back or returning something, make sure you have an expected termination date. So, you'll pay and complete the final payment in ...say... May of 2008

5 - rate of pay. Its good to have this just in case, so you're not shortchanged if you need to legally present this. Something like "$25 per month" or "$10 per week". STAY AWAY from "$10 every payday" because with some pretty simple legal wrangling, and out of work person can get out of the contract (after all; they don't work, so they don't HAVE any paydays for a few months!)

6- consequences. If the contract isn't met, what happens? Do you get the property back? Does the person have to pay for wear and tear? That kind of stuff

7- signatures - both parties

8 - witness - important - AN UNINTERESTED THIRD PARTY who can attest to the authenticity of the note, and state that everyone signed of free will

9- seal - just for all legal bases, pay the 3-5 bucks and take it to a notary and get it stamed.

Hope that helps.

Answer 7

A promissory note is a legal loan contract, a promise to pay.

Answer 8

date the note is written;
to whom the pay't is paid;
how much the payments are;
what is the interest per month/annually;
what is the due date of the note;
signature of the borrower.


you can also get a short form promissory note at a drug store or stationary store...just ask

Answer 9

Its a promise to pay a debt. Sometimes it should be notorized, if its a person you don't know. But a person you can trust???? Maybe that ought to be notorized as well, just to be safe. Make it detailed as a promise to pay what is owed to you....Just to assure you get the loan back, and if it goes to court because of the ammount...You have the note to help get that money back owed to you.

Answer 10

It's a contract that says (promises) you will pay. Kinda like an IOU. The note would include who you are, what you purchased or borrowed, the amount you will pay, when you will pay it, and then signed by both parties.