| | | | | 4. Get in touch with your local debt advisors |
| A promissory letter is a paper which contains the | | | | solicitors. Contact a debt solicitor at Find A |
| signature and name by 2 parties or more, | | | | Solicitor. This website helps people to locate their |
| who’re in a trade and negotiations | | | | nearest solicitor, who have experienced in debt |
| circumstances. In general, this file presents when | | | | expertise. |
| an individual intends to get a sum of funds from | | | | 5. Lastly, process your legal lawsuit papers with |
| the other individual, given that the individual has | | | | the help from your solicitor/debt agencies. |
| stated he/she will give back the whole-sum of | | | | |
| funds to the lender, at the précised time and | | | | If you are a borrower whose name & signature |
| date, in addition to any percentage of the principal | | | | is in the promissory note, you are obligated to |
| amount and further conditions assured in the | | | | pay back the lender. If you can’t pay back |
| agreement. All phrases wrote down in this paper | | | | the lender on the specific time & date stated on |
| ought to be agreed ahead by all the promissory | | | | the promissory note, do not ignore it. Let the |
| letter’s members prior to signatures is being | | | | lender know your situation. Perhaps, the lender |
| signed on the paper. | | | | would agree to extend the payable date. |
| People who are not involved in the contract do | | | | Otherwise, there are several methods that a |
| not have the right to add, influence or somehow, | | | | borrower might be able to get help from: |
| get involved with changes of the contract agreed | | | | 1. Consider a bank loan. Don’t forget to |
| upon by the parties to the contract. | | | | compare various interest rates among banks. |
| Generally, a promissory note is used by individuals | | | | 2. If you have a bad credit history, private loan |
| rather than businesses. However, it can | | | | companies are able to lend you some money. |
| sometimes be seen in family run businesses, | | | | Although, they do have the right to charge an |
| which do not have many traders and customers. | | | | extremely high interest rate. |
| Common cases of individuals’ promissory | | | | 3. Get a solicitor to help you on debt settlement |
| notes are borrowing/lending money amongst | | | | program. Once you have chosen a debt |
| friends. | | | | settlement program, you stop paying your lender |
| Failure to payback the sum of money by the | | | | directly. Instead, you’ll be paying your debt |
| date stated on the promissory note is considered | | | | settlement company monthly, with the amount |
| as breach of promissory note/contract. The | | | | agreed upon by you and your chosen debt |
| lender is able to take legal action against the | | | | settlement company. This will mean that you stop |
| borrower. | | | | getting reminders from your lender asking you to |
| When a borrower has failed to payback the | | | | payback and stop dealing with him/her. Usually, |
| lender, it’s my best advice that the lender | | | | the total debt will be reduced by your lender, |
| takes the following steps before decided to take | | | | through negotiation with your debt settlement |
| any legal action against the borrower: | | | | company. However, it has to be agreed upon by |
| 1. Call the borrower, remind him/her regarding the | | | | your lender and the debt settlement Company. |
| loan | | | | To get debt advice and look for the nearest debt |
| 2. Give the borrower a second reminder. This | | | | solicitors, visit Solicitors |
| time, remind him/her that if he/she still fail to pay | | | | |
| you back soon (Give a specific time. Preferably a | | | | In conclusion, a promissory note is enables a |
| week from this reminder), you’ll be suing her | | | | lender to take legal action to get back the money |
| him for breach of the promissory note. | | | | which he/she lends out. It’s simple, easy to |
| 3. Give the last warning | | | | use yet doesn’t cost a penny. |