PROMISSORY NOTE

FOR VALUE RECEIVED, I, [BORROWER NAME] of [ADDRESS] ("Borrower"), promise to pay to [LENDER NAME] of [ADDRESS] ("Lender"), the principal sum of $[AMOUNT] ([AMOUNT IN WORDS]) in [CURRENCY].

1. INTEREST

Interest shall accrue on the unpaid principal at the rate of [%] per annum.
[ ] Interest is [SIMPLE / COMPOUND MONTHLY].
[ ] No interest.

2. REPAYMENT

Option A — Lump Sum

The full principal and accrued interest shall be paid on or before [DATE].

Option B — Installments

Payments of $[AMOUNT] each, including principal and interest, due on the [DAY] of each [MONTH/WEEK], commencing [DATE], until paid in full.

Option C — Demand

The full amount is payable upon written demand by the Lender.

3. PREPAYMENT

[ ] The Borrower may prepay the principal in whole or in part at any time without penalty.
[ ] Prepayment permitted with a penalty of [%].

4. SECURITY

[ ] This Note is unsecured.
[ ] This Note is secured by [DESCRIBE COLLATERAL] pursuant to a separate Security Agreement dated [DATE].

5. DEFAULT

The Borrower shall be in default if:

Any payment is not made within [NUMBER] days of its due date.
The Borrower becomes bankrupt or insolvent.
The Borrower breaches any term of this Note.

Upon default, the Lender may declare the entire unpaid balance immediately due and payable, and interest shall accrue at the default rate of [%] per annum.

6. ACCELERATION

If the Borrower defaults and fails to cure within [NUMBER] days of written notice, the full outstanding balance becomes immediately due.

7. CO-SIGNER / GUARANTOR (IF APPLICABLE)

I, [GUARANTOR NAME], guarantee payment of this Note and waive presentment, protest, and notice of dishonor.
Guarantor: _______________________ Date: __________

8. GENERAL

Governing Law: [JURISDICTION]
No modification of this Note is effective unless in writing and signed by both Parties.
The Borrower waives presentment, demand, protest, and notice of dishonor.

Borrower: _______________________ Date: __________

Lender: _______________________ Date: __________

Witness: _______________________ Date: __________