This is a form of Promissory Note for use where commercial property is security for the loan. A separate deed of trust or mortgage is also required.
A promissory note template is a legal document that outlines the terms of repayment for a loan or a debt. It serves as a written promise from the borrower to repay the lender within a specified timeframe, along with any interest or fees agreed upon. In Texas, a promissory note template is a commonly used tool for financing agreements, facilitating loans, or settling outstanding debts. By using a template, individuals or businesses can ensure they include all necessary elements required by Texas law. It provides a structured format for recording important details and protects the rights of both parties involved. Here is an example of a promissory note template in Texas: [Title: Promissory Note] Date: [Insert Date] Lender: [Insert Name and Address] Borrower: [Insert Name and Address] Principal Amount: [Insert Loan Amount] Interest Rate: [Insert Interest Rate] Term: [Insert Loan Term] 1. Promise to Pay: The Borrower promises to pay to the Lender the principal amount, together with accrued interest, in the manner and within the timeframe specified herein. 2. Repayment Terms: The Borrower agrees to repay the loan in equal monthly installments of [Insert Installment Amount], beginning on [Insert Date]. The final payment shall be due on [Insert Date]. 3. Interest: The Borrower shall pay interest on the outstanding principal balance at the rate of [Insert Interest Rate] per annum, calculated from the date of this agreement until the loan is fully repaid. 4. Late Payment: In the event of late payment, the Borrower shall be liable to pay a late fee of [Insert Late Fee Amount] for each occurrence, or [Insert Late Fee Percentage] of the overdue payment amount, whichever is greater. 5. Prepayment: The Borrower may prepay the outstanding principal balance, in part or in full, without penalty or additional fees at any time during the loan term. 6. Default: In case of default, the Lender reserves the right to enforce the terms of this agreement and seek immediate repayment of the outstanding loan balance, along with any applicable fees, costs, and legal expenses. 7. Governing Law: This promissory note shall be governed by and construed in accordance with the laws of the State of Texas. By signing below, the Borrower acknowledges and agrees to be bound by the terms and conditions of this promissory note. _________________________ [Signature of Borrower] _________________________ [Printed Name of Borrower] _________________________ [Signature of Lender] _________________________ [Printed Name of Lender] Different types of promissory note templates in Texas may vary based on specific loan purposes or circumstances. Examples include secured promissory notes, unsecured promissory notes, demand promissory notes, installment promissory notes, and promissory notes with balloon payments. The structure and content of these templates will vary to accommodate the unique requirements of each loan arrangement.
