"Revolving Line of Credit Promissory Note Template"

ADVERTISEMENT
ADVERTISEMENT

Download "Revolving Line of Credit Promissory Note Template"

233 times
Rate (4.5 / 5) 11 votes
R
L
C
P
N
EVOLVING
INE OF
REDIT
ROMISSORY
OTE
[Insert: $____.00] [Insert: city of corporate address, state of corporate address]
<<date>>
F
V
R
, <<
>>, a _________ corporation
OR
ALUE
ECEIVED
NAME OF CORPORATION
("Maker") promises to pay to [Insert: N
P
], an individual (the "Payee"), at
AME OF
AYEE
<<baddress>>, or at such other places as Payee may designate from time to time in writing, the
principal sum of [Insert: Amount of note in words] and No/100s Dollars [Insert: ($ amount of
note in numbers.00) or so much of that sum as may be advanced under this Revolving Line of
Credit Promissory Note.
Interest: insert one provision as applicable:
[For prime rate insert: Interest shall accrue on the unpaid principal balance at the prime
rate (as hereafter defined) until the principal is paid in full. As used herein, “Prime Rate” means
the prime rate as quoted in the “Money Rates” section of the Wall Street Journal. In the event
the Wall Street Journal is no longer publishing the “Money Rates” section, the prime rate shall
be the prime lending rate charged by the Bank of America to its most favored borrowers.]
[For prime + x insert: Interest shall accrue on the unpaid principal balance at the prime
rate (as hereafter defined) plus [Insert: percent in words] percent [Insert: (percent in numbers
%)]until the principal is paid in full. As used herein, “Prime Rate” means the prime rate as
quoted in the “Money Rates” section of the Wall Street Journal. In the event the Wall Street
Journal is no longer publishing the “Money Rates” section, the prime rate shall be the prime
lending rate charged by the Bank of America to its most favored borrowers.]
[For x percent (x %) insert: Interest shall accrue on the unpaid principal balance at
[Insert: percent in words] percent [Insert: (percent in numbers %)] until the principal is paid in
full.
Payments of principal and interest shall be made as provided below in the paragraph
entitled “P
.”
P
I
AYMENT OF
RINCIPAL
NTEREST
P
P
I
AYMENT OF
RINCIPAL
NTEREST
Commencing on the date one (1) month following the date of this Promissory Note, and
continuing on the first day of each month thereafter, Maker shall pay to Payee monthly payments
of interest only, continuing for twelve (12) months, at the end of which time, the remaining
principal balance, if any, shall be due and payable. In the event any payment is not received by
Payee within ten (10) days following its due date, a late charge equal to five percent (5%) of the
payment shall be due from Maker to Payee in addition to the installment that is otherwise due.
Maker acknowledges that this late charge is intended to reimburse Payee for administrative
expenses incurred by Payee due to Maker’s failure to make timely payments.
L
C
INE OF
REDIT
This Note evidences a revolving line of credit. Advances under this Note may be
requested orally by Maker. The unpaid principal balance owing on this Note maybe evidenced
by endorsement or amendments to the Note or by Payee’s internal records. Payee shall have no
1
C:\dexform\good_results\data-new\261457.doc
R
L
C
P
N
EVOLVING
INE OF
REDIT
ROMISSORY
OTE
[Insert: $____.00] [Insert: city of corporate address, state of corporate address]
<<date>>
F
V
R
, <<
>>, a _________ corporation
OR
ALUE
ECEIVED
NAME OF CORPORATION
("Maker") promises to pay to [Insert: N
P
], an individual (the "Payee"), at
AME OF
AYEE
<<baddress>>, or at such other places as Payee may designate from time to time in writing, the
principal sum of [Insert: Amount of note in words] and No/100s Dollars [Insert: ($ amount of
note in numbers.00) or so much of that sum as may be advanced under this Revolving Line of
Credit Promissory Note.
Interest: insert one provision as applicable:
[For prime rate insert: Interest shall accrue on the unpaid principal balance at the prime
rate (as hereafter defined) until the principal is paid in full. As used herein, “Prime Rate” means
the prime rate as quoted in the “Money Rates” section of the Wall Street Journal. In the event
the Wall Street Journal is no longer publishing the “Money Rates” section, the prime rate shall
be the prime lending rate charged by the Bank of America to its most favored borrowers.]
[For prime + x insert: Interest shall accrue on the unpaid principal balance at the prime
rate (as hereafter defined) plus [Insert: percent in words] percent [Insert: (percent in numbers
%)]until the principal is paid in full. As used herein, “Prime Rate” means the prime rate as
quoted in the “Money Rates” section of the Wall Street Journal. In the event the Wall Street
Journal is no longer publishing the “Money Rates” section, the prime rate shall be the prime
lending rate charged by the Bank of America to its most favored borrowers.]
[For x percent (x %) insert: Interest shall accrue on the unpaid principal balance at
[Insert: percent in words] percent [Insert: (percent in numbers %)] until the principal is paid in
full.
Payments of principal and interest shall be made as provided below in the paragraph
entitled “P
.”
P
I
AYMENT OF
RINCIPAL
NTEREST
P
P
I
AYMENT OF
RINCIPAL
NTEREST
Commencing on the date one (1) month following the date of this Promissory Note, and
continuing on the first day of each month thereafter, Maker shall pay to Payee monthly payments
of interest only, continuing for twelve (12) months, at the end of which time, the remaining
principal balance, if any, shall be due and payable. In the event any payment is not received by
Payee within ten (10) days following its due date, a late charge equal to five percent (5%) of the
payment shall be due from Maker to Payee in addition to the installment that is otherwise due.
Maker acknowledges that this late charge is intended to reimburse Payee for administrative
expenses incurred by Payee due to Maker’s failure to make timely payments.
L
C
INE OF
REDIT
This Note evidences a revolving line of credit. Advances under this Note may be
requested orally by Maker. The unpaid principal balance owing on this Note maybe evidenced
by endorsement or amendments to the Note or by Payee’s internal records. Payee shall have no
1
C:\dexform\good_results\data-new\261457.doc
obligation to advance funds under this Note if Maker is in default under the terms of the Note or
any agreement that Maker has with Payee, Maker ceases doing business or is insolvent, or Payee
in good faith believes itself insecure.
P
P
REPAYMENT
RIVILEGE
Principal and/or interest may be prepaid in whole or in part at any time without penalty.
A
CCELERATION
In the event that Maker shall default in the payment of interest or principal when due, and
if such default shall continue for thirty (30) days following written notice from Payee to Maker,
the whole sum of the principal balance and all accrued interest thereon shall become immediately
due and payable at the option of Payee upon notice to Maker.
M
ISCELLANEOUS
Principal and interest are payable in lawful money of the United States. If Payee
institutes a judicial action to collect on this Promissory Note, Maker promises to pay reasonable
attorneys' fees awarded by the court. Time is of the essence in the performance by Maker of
Maker's obligations under this Promissory Note.
M
:
AKER
<<
>>,
NAME OF CORPORATION
_____________
A
CORPORATION
B
:
Y
<<
>>, P
NAME OF PRESIDENT
RESIDENT
2
C:\dexform\good_results\data-new\261457.doc
Page of 2