INSTALLMENT NOTE SALE - TITLE TO REMAIN IN PAYEE OR HOLDER
TERMS OF NOTE
For value received, ___________________________ (name) of ___________________________, (address) referred to as Maker, promises to pay to the order of _____________________________, (name) of ____________________________________________, (address) referred to as Payee, the principal sum of ____________ dollars ($) with interest thereon at __________ percent (%) per year in installments as follows: in ______ (number) monthly installments of ________________dollars ($) each, beginning on ___________, continuing on the same day of each month, and ending on ___________.
SALE OF GOODS
This note is given for the purchase of _____________, in this note referred to as the Goods.
TITLE OF GOODS; SECURITY INTEREST IN GOODS
Title of the goods shall remain in Payee of this note until all of the installments are paid in full. The Payee is hereby granted a security interest in all the Goods to secure the prompt compliance of Maker in performing all of the obligations of Maker under this note.
ACCELERATION OF NOTE; REPOSSESSION OF GOODS
If there is any default in the payment of any installment of principal or interest of this note, if there is a sale or attempted sale of part or all of the Goods, if there is a removal or attempted removal of part or all of the Goods from , or if any other event happens that causes Payee to deem itself insecure, Payee shall have the option to declare all of the unpaid installments of this note due and payable at once, and Payee shall have the right to repossess the Goods.
PRESERVATION OF GOODS
Maker shall insure the goods for ___________________ with a company acceptable to Payee, and Maker shall comply with all requirements of Payee to preserve the Goods.
EFFECT OF WAIVER OF RIGHTS BY PAYEE
Failure on the part of Payee to exercise any option on the happening of a default under this note shall not operate to bar the right of Payee to exercise the option on any subsequent default.
MAXIMUM INTEREST COLLECTABLE ON NOTE
Maker shall not be required to pay and Payee shall not be permitted to collect interest in excess of the maximum permitted by the law held to be applicable to this transaction. If any excess of interest is provided for in this note or has been collected under this note, Maker shall not pay the interest in excess of the amount permitted by law and the final payments due under this note shall be adjusted so that the total interest actually paid will equal the maximum amount that may be lawfully collected.
All rights of Payee under this note and to the Goods may be assigned. The liability of Maker to any assignee shall be immediate and absolute and Maker will not set up any claim against the assignee as a defense, counterclaim, or set-off to any action brought by any assignee for the unpaid balance owed under this note or for repossession of the Goods.
WAIVER OF PRESENTMENT, PROTEST, AND NOTICE OF DISHONOR
All parties to this note, whether Maker, surety, or endorser, waive presentment, demand, protest, notice of dishonor, and any other notices normally required to be made.
COSTS OF COLLECTION
Maker shall pay the costs of collection of this note, including reasonable attorney fees and legal costs, in an amount not to exceed ______ percent (%) of the principal and interest collected after default of this note.
EXTENSION OF TIME
The endorsers and sureties agree to any extensions of time for payment that Payee may make without notice of such extensions.
DEFINITION OF PAYEE
The word Payee shall mean the Payee or any other endorsee of this note, who is in possession of it, or the bearer of this note, if this note is at that time payable to bearer.
________________________________ Date ______________________
Signature of Maker
For value received, and with recourse, Payee hereby assigns the above note to __________________
________________, (name) of ___________________________________________ (address). Payee further assigns all the right, title, and security interest that it holds in the Goods described in the above note.
The assignee shall not be bound to take any steps necessary to preserve any rights and the Goods against prior parties that the Payee assumes to do.
In witness whereof, Payee has executed this assignment at __________________________________ (place) on ___________________(date).
Signature of Payee
These forms are provided AS IS. They may not be any good. Even if they are good in one jurisdiction, they may not work in another. And the facts of your situation may make these forms inappropriate for you. They are for informational purposes only, and you should consult an attorney before using them.