Promissory Note for Secured Personal Loan
Promissory Note for Secured Personal Loan
Date: February 15, 2060
Loan Amount: $75,000
Interest Rate: 5% per annum
Lender:
[Your Name]
255 Maple Street
San Francisco, CA 94105
Borrower:
Elizabeth Carter
1025 Oak Lane
San Diego, CA 92037
1. For value received
The undersigned, Elizabeth Carter, hereby promises to pay Johnathan Harris, the principal sum of seventy-five thousand dollars ($75,000), with an interest rate of five percent (5%) per annum on the unpaid balance, beginning from the loan disbursement date of February 15, 2060, and until fully paid on or before February 15, 2065.
2. Payment terms
Payments shall be made in the following manner:
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Monthly installments: Borrower agrees to pay monthly installments of $1,500, beginning on March 15, 2060, and continuing on the 15th day of each month thereafter until the full principal and accrued interest are paid in full.
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Interest calculation: Interest shall accrue monthly based on the unpaid balance. Any unpaid accrued interest shall be added to the principal balance if not paid within 30 days of the due date.
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Late payments: If the borrower fails to make any payment within ten (10) days of the due date, a late fee of 5% of the missed payment will be assessed.
3. Security
This note is secured by the following collateral:
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Description of collateral: Borrower pledges the following property as collateral for the repayment of this loan: one 2060 Tesla Model Z (VIN: 1HGCM82633A123456), currently located at 1025 Oak Lane, San Diego, CA 92037, with an estimated market value of $80,000.
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In the event of default, the lender shall have the right to take possession of the collateral and dispose of it in accordance with applicable laws to satisfy the outstanding balance of the loan.
4. Prepayment
The borrower may prepay this loan in whole or in part at any time without penalty. Any prepayments will be applied first to accrued interest, then to the outstanding principal.
5. Default
Borrower shall be in default if any of the following occur:
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Non-payment: Failure to make a payment due under this note within thirty (30) days of the scheduled payment date.
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Bankruptcy: The borrower files for bankruptcy or is adjudicated bankrupt.
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Insolvency: Borrower becomes insolvent or assigns property for the benefit of creditors.
Upon default, the full balance of the loan, including all accrued interest, shall become immediately due and payable at the lender’s option. Lender may also enforce its right to take possession of the collateral.
6. Governing law
This promissory note shall be governed by and construed in accordance with the laws of the state of California, and any disputes arising from this agreement shall be subject to the jurisdiction of the courts in San Francisco, California.
7. Miscellaneous provisions
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No waiver: Lender’s failure to exercise any right under this note shall not be deemed a waiver of such right.
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Amendment: Any amendments or modifications to this promissory note must be in writing and signed by both borrower and lender.
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Severability: If any provision of this note is found to be unenforceable or invalid, the remaining provisions shall remain in full force and effect.
8. Borrower and lender signatures
By signing below, the borrower and lender acknowledge that they have read, understood, and agree to the terms and conditions outlined in this promissory note.
Borrower signature:
Elizabeth Carter
Borrower
Lender signature:
[Your Name]
Lender
