Legally Binding IOU (I Owe You)
I. Acknowledgment of Debt
I, [YOUR NAME], of [YOUR COMPANY NAME], hereby acknowledge and confess that I am indebted to [CREDITOR NAME] in the sum of [LOAN AMOUNT] [CURRENCY] which represents money borrowed on [LOAN DATE].
II. Promise to Pay
I, [YOUR NAME], promise to repay the aforementioned sum in full to [CREDITOR NAME] by the agreed-upon due date of [DUE DATE]. Payment will be made via [METHOD OF PAYMENT], unless otherwise agreed upon by both parties.
III. Interest
The debt described herein will accrue interest at a rate of [INTEREST RATE]% per annum, compounded [COMPOUNDING PERIOD].
IV. TERMS OF REPAYMENT:
The Borrower agrees to repay the Debt to the Lender under the following terms:
REPAYMENT SCHEDULE:
The Debt shall be repaid in [NUMBER] installments of $[INSTALLMENT AMOUNT] each.
The first installment shall be due on [DATE], and subsequent installments shall be due on the same day of each month thereafter until the Debt is fully repaid.
The Borrower shall make payments via [PAYMENT METHOD] to the Lender's designated account.
V. DEFAULT:
LATE PAYMENTS:
In the event of a late payment, the Borrower shall be liable to pay a late fee of $[LATE FEE AMOUNT] for each day the payment is overdue.
DEFAULT:
If the Borrower fails to make any payment when due and such default continues for [NUMBER] days after written notice from the Lender, the entire outstanding balance of the Debt, together with accrued interest, shall become immediately due and payable.
VI. GOVERNING LAW:
This Agreement shall be governed by and construed in accordance with the laws of [STATE/COUNTRY], without regard to its conflict of laws principles.
VII. Signatures
This IOU is signed this day, [SIGN DATE], ensuring the mutual agreement of the owed sum and its repayment conditions as outlined above.
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[YOUR NAME], Debtor
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[CREDITOR NAME], Creditor
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