Illinois Unsecured Promissory Note Template

The¬†Illinois Unsecured Promissory Note Template is a legal document that is available in .PDF or Word format. Unsecured promissory notes are not backed by a borrower’s pledged assets (hence being “unsecured”). Lenders have a higher risk when using unsecured loans/notes, therefore they are typically only issued to “low-risk” borrowers. Use the instructions posted below as a guide when drafting your unsecured note.

How to Write

Step 1 – Download the file in .PDF or Word format using the links near the top of the page.

Step 2 – The document must contain the following details (within the first paragraph):

  • Date
  • Full name of borrower
  • Address of borrower
  • Lender’s name
  • Address of borrower
  • Principal sum
  • Interest rate (per annum)

Step 3 – Payments – This subsection is used to establish the payment method, schedule, etc. Enter the following information:

  • Select the payment method by checking the corresponding box.
  • If the payment method is “Installments” or “Interest Only” then the monthly OR weekly payment due date must be filled in.

Step 4 – Due Date:

  • Provide the final due date of the note/loan.

Step 5 – Interest Due in Event of Default:

  • Fill in the interest rate that will be applied to the note/loan if the borrower defaults.

Step 6 – Late Fees:

  • Submit the amount of time the borrower will have to make a payment (after the original due date has passed).
  • Enter the late fee amount.

Step 7 – Acceleration: If the borrower defaults on the loan, they still have time to cure it before the lender takes further action.

  • Submit the number of days the borrower will have to cure the default.

Step 8 – Signatures:

  • Submit the date.
  • The lender/borrower must print/sign their respective names.
  • AND
  • The witnesses must print/sign their names in the appropriate input sections.
Illinois Unsecured Promissory Note - Adobe PDF - Microsoft Word

Illinois Unsecured Promissory NoteAdobe PDFMicrosoft Word