A Promissory Note is a written, legally binding document in which one party promises to pay a specific amount of money to another party at a specified time or on demand.
A Promissory Note is a financial instrument that records a borrower’s promise to repay a loan. It includes key details such as amount, interest rate, repayment date, and parties involved.
In India, promissory notes are governed by the Negotiable Instruments Act 1881 and are widely used in both personal and business lending.
"A borrower signs a promissory note agreeing to repay ₹50,000 to a lender within 6 months."