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Demand Promissory Note Sample

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Check out this wonderful Demand Promissory Note Sample that can assist you in the process of preparing and printing your very own Demand Promissory Note quickly. You can also review and download our comprehensive collection of free Promissory Notes Samples available on our website.

Key Elements to Include in a Demand Promissory Note:

  1. Name and Address of the Debtor (Borrower): Clearly state the full name and complete address of the borrower.
  2. Name and Address of the Creditor: Include the full name and complete address of the creditor.
  3. Amount of Debt: Specify the exact amount borrowed by the debtor.
  4. Sworn Statement: A declaration from the borrower agreeing to repay the debt upon the creditor’s demand.
  5. Repayment Terms: Clearly state that the creditor can demand repayment at any time.
  6. Signatures and Dates: Ensure both parties sign the document and include the date of signing.

Here is a preview of a free Sample Demand Promissory Note created as a fill-able PDF form,


Demand Promissory Note

Here is the download link for this Demand Promissory Note,

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Advantages and Disadvantages of a Demand Promissory Note:


  1. Legally Binding: A demand promissory note is a legal contract. Once signed, the borrower is legally obligated to repay the debt whenever the creditor demands, providing legal security to the creditor.
  2. Simplicity and Convenience: This document is straightforward and easy to create. It doesn’t require the involvement of attorneys or legal experts, saving time and money.
  3. Flexibility for the Creditor: The creditor has the flexibility to demand repayment at any time, making it a convenient option for short-term loans.


  1. Potential Financial Strain on Borrower: The creditor can demand repayment at any time, which can be problematic if the borrower faces financial difficulties or is on the verge of declaring bankruptcy.
  2. Limited Legal Protection for Debtor: Unlike formal loan agreements, a demand promissory note offers limited legal protection for the borrower. The law doesn’t prevent the creditor from demanding repayment during a financial crisis.
  3. Enforcement Issues: While it is a legal document, enforcing repayment can be challenging. If the debtor refuses to pay or declares bankruptcy, the creditor may face difficulties recovering the owed amount.

Extending the Value:

To enhance the utility and comprehensiveness of a demand promissory note, consider including additional clauses such as:

  1. Interest Rate: If applicable, specify the interest rate on the borrowed amount. This provides clarity on the cost of borrowing and can protect the creditor’s financial interests.
  2. Payment Method: Define acceptable payment methods (e.g., bank transfer, check) to avoid any ambiguity during repayment.
  3. Notice Period: Although the creditor can demand payment at any time, including a notice period (e.g., 30 days) can provide the borrower with a fair warning and time to arrange funds.
  4. Default Terms: Outline the consequences of non-payment, such as late fees or legal action, to ensure both parties understand the seriousness of the commitment.
  5. Dispute Resolution: Include a clause specifying how disputes will be resolved, such as through mediation or arbitration, to avoid lengthy and costly legal battles.

By incorporating these elements, a demand promissory note becomes a more robust and clear document, protecting the interests of both the creditor and the debtor. It balances legal enforceability with practical considerations, ensuring that both parties are aware of their rights and obligations.

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