Questions about lending?

[Joan Garcia Hernandez]

Let's say I have ten thousand dollars, and I know someone who needs to borrow some money. How would I write a promissory note for it?

[Beth Johnson]

@Joan Garcia Hernandez

Depending on the state you are in, there may be more specific term requirements needed to safeguard your loan so I would recommend consulting with a real estate contract law attorney who's experienced with Private lending in the market(s) you, the borrower, and the property reside in, if different.

There are legal and licensing considerations that are market/state specific and often times clauses or details that should be included to protect you. As an example, I often see home grown contracts in my state by individuals making a private loan that have no interest rate which could/would render the note unenforceable in my state.

Pays to get it done by a legal pro than pay legal fees after it's funded, when you're in trouble because of a note prepared online.