Legal Forms
To search for a particular term please use the following search box.
Important Notice : Lawyerintl.com strongly recommends that you seek independent legal advice from a qualified lawyer before using any of the forms on this site, in order that you can verify the forms are suitable for your needs.
Secured Installment Note--Variable Payments
SECURED INSTALLMENT NOTE-VARIABLE PAYMENTS
SECTION ONE
TERMS OF NOTE
For value received, [Name of makers], of [addresses of makers], in this note referred to as makers, promise to pay to the order of [Name of financial institution], of [address of financial institution], [city of financial institution], [state of financial institution], in this note referred to as institution, at [address of financial institution], [city of financial institution], [state of financial institution], the principal sum of Dollars $[Amount of Principal] with interest thereon at [Interest on note]% per annum on the unpaid balance of the principal. Payment of principal and interest shall be made on the dates and in the amounts shown in the attached schedule of payments. Any payment made on this note shall be applied first to interest, with the remainder of the payment being applied to principal.
SECTION TWO
DEFINITION OF COLLATERAL
The term collateral used in this note means the following property that has been pledged to institution:
Market value as of [date]
$ [Value of property]
Description [Description of property]
Collateral shall also include all other property of makers that now or hereafter comes under the control of institution for any purpose, including dividends, distributions, or other rights in connection with any property described above.
SECTION THREE
LIEN OF INSTITUTION
Institution has a lien on the collateral to secure payment of this note and all other obligations that makers owe to institution, regardless of the manner the other obligations were created and regardless of whether the obligations are absolute or contingent, now or hereafter existing, due or to become due.
SECTION FOUR
DEFINITION OF OBLIGATIONS
This note and the obligations described in Section Three are in this note collectively referred to as obligations.
SECTION FIVE
PRESERVATION OF COLLATERAL
Institution shall be deemed to have exercised reasonable care in the preservation of the collateral if institution takes the action that makers request in writing that institution take to preserve the collateral. Failure of institution to comply with the written requests of makers shall not of itself be deemed a failure to exercise reasonable care. No failure of institution to preserve any rights with respect to the collateral against prior parties or to do any act with respect to preservation of the collateral not requested by makers shall be deemed a failure to exercise reasonable care.
SECTION SIX
POWERS OF INSTITUTION OVER COLLATERAL
In addition to all other rights possessed by institution, institution, from time to time, whether before or after this note becomes due and payable, may (a) transfer any part of the collateral into the name of institution or its nominee, with or without disclosing that the collateral is subject to the security interest described in Section Three; (b) notify the parties obligated on any of the collateral to make payment to institution of any amounts due or to become due under this note; (c) enforce collection of any of the collateral; (d) release or exchange any of the collateral; (e) compromise, extend, or renew this note for any period, regardless of whether the period is longer than the original period without compromising its security interest in the collateral; and (f) take control of any proceeds from the sale of the collateral.
SECTION SEVEN
ACCELERATION ON DEFAULT
If there is nonpayment of any amount due on any of the liabilities or if any statement in any application for the loan evidenced by this note or in any supporting document is untrue in any material respect at the time the statement was made, this note and all other liabilities may, at the option of institution, and without demand or notice of any kind, be declared and shall become immediately due and payable.
SECTION EIGHT
COSTS OF COLLECTION
Makers shall pay all expenses incurred by institution, including reasonable attorney fees, expended, in the collection or enforcement of any provision of this note.
SECTION NINE
NOTICE OF DISPOSITION OF COLLATERAL
If any notice of the intention of payee to dispose of any collateral is required by law, notice shall be deemed to be reasonably and properly given to makers if notice is mailed by [certified or registered] mail, with postage prepaid, return receipt requested, to the last known addresses of makers at least days before disposition of the collateral.
SECTION TEN
APPLICATION OF PROCEEDS FROM DISPOSITION OF
COLLATERAL
Any proceeds received from the disposition of any collateral may be applied by institution to the payment of expenses in connection with the collection and disposition of the collateral. The proceeds shall then be applied to the payment of the liabilities in the order institution may elect. After the satisfaction of all obligations, the remainder of the proceeds shall be paid to makers as their interest in the collateral may appear.
SECTION ELEVEN
WAIVER OF PRESENTMENT, PROTEST, AND NOTICE OF DISHONOR
Makers waive presentment, protest, notice of dishonor, and all other notices normally required by law, except where notice is expressly provided for in this note.
SECTION TWELVE
EXTENSION OR RENEWAL OF NOTE
Institution may, from time to time, extend or renew this note for any period, regardless of whether the period is longer or shorter than the original period of this note.
SECTION THIRTEEN
RELEASE OF NOTE
Institution may grant releases or compromises of this note or any collateral therefor to any party who is liable to make payment on this note, without notice or consent of makers, and without affecting the liability of makers under this note.
SECTION FOURTEEN
CONFESSION OF JUDGMENT
To secure payment of this note, makers authorize any attorney of any court of record of [state], to appear for makers at any time after payment of this note is due, whether by acceleration or otherwise, to confess judgment, without service of process, in favor of institution and against makers for the amount due on this note and unpaid, together with costs of the proceedings and reasonable attorney fees. Makers waive all errors that may occur in any confession of judgment proceeding, and consent to immediate execution on any judgment ordered.
SECTION FIFTEEN
CHOICE OF LAW
This note has been made and delivered in [state], and shall be construed in accordance with the laws of [state].
SECTION SIXTEEN
SEVERABILITY OF INVALID PROVISION
If any provision, or a part of any provision, of this note is invalid under the laws of [state], the provision or part thereof shall be ineffective to the extent of its invalidity under the applicable law without invalidating the remainder of the provision or other provisions of this note.
SECTION SEVENTEEN
REFUND OF CREDIT
On payment of this note in full before the scheduled maturity date, a refund credit shall be granted to the extent provided by law.
SECTION EIGHTEEN
DATING OF NOTE
If this note is not dated when executed by makers, institution is authorized, without notice to makers, to date this note.
Dated:
[Signature of makers]