Combine Online Promissory Notes Templates For Free

(1) A promissory note is an unconditional promise in writing made by one person to another signed by the maker, engaging to pay, on demand or at a fixed or determinable future time, a sum certain in money, to, or to the order of, a specified person or to bearer.

The duty rates for promissory notes are to be reduced by a fifth. The present rates are 10 paise for amount less than Rs 250, 15 paise for amount more than Rs 250 but less than Rs 1,000, and 25 paise for amount more than Rs 1,000.

Drawer or Maker: The promisor, also known as the maker or issuer of the promissory note, is the person who creates or issues the promissory note that specifies the sum to be paid. Drawee or Payee: It is the individual on whose behalf the promissory note is made or issued, also known as the promisee.

26. Capacity to make, etc., promissory notes, etc. ?Every person capable of contracting, ing to the law to which he is subject, may bind himself and be bound by the making, drawing, acceptance, indorsement, delivery and negotiation of a promissory note, bill of exchange or cheque.

At its most basic, a promissory note should include the following things: Date. Name of the lender and borrower. Loan amount. Whether the loan is secured or unsecured. If it's secured with collateral: What is the collateral? ... Payment amount and frequency. Payment due date. Whether the loan has a cosigner, and if so, who.

A promissory note can be used for different types of loans such as a mortgage, student loan, car loan, business loan or personal loan.