Maryland Secured Promissory Note Template

The¬†Maryland Secured Promissory Note Template is a type of contractual form that is used by lenders to outline specific terms of loan including the interest rate, principal sum, payment method/schedule, etc. Secured promissory notes are “secure” due to the backing of the borrower’s collateral.

Security: The borrower pledges assets as collateral and agrees to pay the lender (via the payment method/schedule provided in the note). The lender provides the borrower with a monetary loan, and if the borrower defaults on the loan, the lender can legally take possession of the pledged collateral.

How to Write

Step 1 – Download the form via the links at the top of the page. The form can be downloaded in .PDF or Word format.

Step 2 – Submit the following:

  • Date of note/agreement
  • Name and address of borrower
  • Name/address of lender
  • Principal sum of loan
  • Interest rate percentage

Step 3 – Payments – There are three possible payment options:

  • No Installments
  • Installments – (provide the agreed upon installment amount)
  • Interest Only

Step 4 – The monthly OR weekly due date/payment schedule is required if the payment method is “Installments” or “Interest Only.”

Step 5 – Due Date:

  • Submit the due date in the provided format.

Step 6 – Interest Due in Event of Default:

  • Provide the interest rate percentage that will be applied to the balance of the loan/note if the borrower defaults on it.

Step 7 – Late Fees:

  • Enter the agreed upon number of days that the borrower will have to make a payment (after the original due date has passed).
  • Submit the late fee amount that will be applied to the balance if the borrower misses the aforementioned period.

Step 8 – Acceleration:

  • Provide the number of days the borrower will have to cure a default on the loan.

Step 9 – Security:

  • Enter a description of the borrower’s pledged asset(s).

Step 10 – Signatures:

  • Submit the date of signing in the appropriate input field.
  • Provide the printed names of the lender, borrower, and witnesses.
  • The borrower must sign their name.
  • Lender AND witnesses must sign their names.
Maryland Secured Promissory Note - Adobe PDF - Microsoft Word

Maryland Secured Promissory NoteAdobe PDFMicrosoft Word