Promissory Note
PN means a paper with a writing which has a promise. But it does not mean that we write "I owe You" and it becomes a PN.
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PN is always in writing
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PN has an unconditional undertaking called promise
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The promise is to pay money
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The money has to be paid to the certain person.
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Please note that when a person issues a promissory note, he/ she would have to stamp it as per the Indian Stamp Act and normally a revenue stamp is affixed on the PN signed by the promissory.
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The PN can be Demand Promissory Note or Usance Promissory Note. Demand Promissory Note has to be paid immediately on demand and Usance Promissory Note has to be paid after certain time period.
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There are two parties in the PN. The maker is who promises to pay and the payee is who is promised to pay.
Is a currency Note a promissory note?
The currency Notes bearA pessimist market operator who expects the market price of shares to decline. The term also refers to the one who has sold shares which ..... the following note signed by Governor Reserve Bank of IndiaThe Reserve Bank of India was established on April 1, 1935 in accordance with the provisions of the Reserve Bank of India Act, 1934 with ..... (for more than ` 1) and Finance Secretary (` 1) :
I promise to pay the bearer a sum of ________Rupee/ Rupees.
However , Currency notes are money and they don't fulfill the conditions of the PN. The currency is excluded from NI act and governed by Indian Currency Act. So Currency notes are Not promissory Notes.
