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Connecticut Secured Promissory Note Template |
The Connecticut Secured Promissory Note Template is a written agreement that is used to establish the terms of a loan. The note is a contractual document that is entered into by two parties (a lender and a borrower). The note is “secured” because of the borrower’s pledged collateral. In the event of a default the lender may take possession of the collateral and sell it in order to recoup the balance of the loan.
Note: This document must be signed by two witnesses. Both parties (lender/borrower) are required to sign their names in order for the document to be valid.
How to Write
Step 1 – Download the template in .PDF or Word format.
Step 2 – Provide the following details:
- Date (dd/m/yy)
- Full name of borrower
- Address of borrower
- Name of lender
- Address of lender
- AND
- Enter the principal sum of the agreement
- Interest rate (per annum)
Step 3 – Payments – Select the appropriate method of repayment from the following options:
- No Installments (one-time payment on due date)
- Installments (multiple weekly or monthly payments)
- Interest Only
Installment or interest only payments require additional details:
- Monthly – enter the monthly due date
- Weekly – provide the weekly due date
Step 4 – Due Date: The date which the entire sum of the loan (including any fees) is due by.
Step 5 – Interest in Event of Default: Should the borrower default on the note, the interest rate as provided in this subsection will be applied to the balance.
- Enter the interest rate
Step 6 – Late Fees: Enter the amount of time (in days) that the borrower will have to submit a payment before a late fee will be applied to the balance. Provide the late fee amount.
- Note: Any late fees are due the same time as the past-due payment.
Step 7 – Acceleration: Submit the number of days the borrower will have to “cure” a default on the note. Should the borrower fail to cure the default within this time period, the lender may declare the full balance due immediately.
Step 8 – Security: Provide a description of the pledged collateral.
Step 9 – Signatures:
- Submit the date the agreement is signed by the parties and witnesses.
- Enter the lender’s name.
- Lender must sign their name.
- Enter the borrower’s name.
- Borrower must provide a signature.
- Witnesses must print/sign their names.
Connecticut Secured Promissory Note – Adobe PDF – Microsoft Word
