A promissory note is a negotiable instrument, wherein one party (the maker or issuer) makes an unconditional promise in writing to pay a determinate sum of money to the other (the payee), either at a fixed or determinable future time or on demand of the payee, under specific terms.
Referred to as a note payable in accounting, or commonly as just a "note", it is internationally regulated by the Convention providing a uniform law for bills of exchange and promissory notes. Bank note is frequently referred to as a promissory note: a promissory note made by a bank and payable to bearer on demand.
Read more about Promissory Note: Overview, History, Difference From IOU, Difference From Loan Contract
Famous quotes containing the word note:
“And songs climb out of the flames of the near campfires,
Pale, pastel things exquisite in their frailness
With a note or two to indicate it isn’t lost,
On them at least. The songs decorate our notion of the world
And mark its limits, like a frieze of soap-bubbles.”
—John Ashbery (b. 1927)