Basic Promissory Note with no Interest
This Basic Promissory Note provides a simple way for one individual to acknowledge and document a personal debt to another. It consists of a written, dated and signed unconditional promise by the ‘promisor’ to pay a definite sum of money to the ‘payee’, either on demand or at a specified future date.
What does Basic Promissory Note with no Interest do?
It records a straightforward promise to repay money owed, without using a full loan agreement.
The note is signed only by the promisor (the borrower) and not by the payee (the lender).
For promissory notes, the law presumes (contrary to the usual rules of contract) that consideration is provided. It is therefore not necessary to execute this promissory note as a deed.
This Basic Promissory Note is unsecured and the debt does not carry any interest.
When should you use Basic Promissory Note with no Interest?
Use this version for small, uncomplicated loans between individuals where no interest is payable and you want a clear written record of the debt and repayment obligation.
Choose the right version
If you need interest and repayment by instalments, use:
Other versions in this collection include company promissory notes and a joint and several promissory note, where appropriate.
Basic Promissory Note with no Interest is part of Corporate. Just £38.50 + VAT provides unlimited downloads from Corporate for 1 year.