Glossary / Also known as

Promissory note payable on demand

Another name for Demand Promissory Note.

Other names

What does promissory note payable on demand mean?

Promissory note payable on demand is another name for Demand Promissory Note. A signed, unconditional "I owe you" that's legally enforceable on demand - still widely used in Indian lending.

The two names mean the same thing. You will see "promissory note payable on demand" in some ledgers, reports and contracts and "Demand Promissory Note" in others. The full entry covers how it works, with examples.

Read the full definition of Demand Promissory Note

Topics

Payments and banking

From the glossary

Related terms.

Payments and banking Demand Promissory Note A signed, unconditional "I owe you" that's legally enforceable on demand - still widely used in Indian lending. Also called DPN, promissory note payable on demand Payments and banking Bank Guarantee Your bank's written promise to pay a third party if you can't deliver on a contract - widely used in tenders and trade. Also called BG, letter of guarantee Working capital Overdraft A credit line that lets you spend more than your bank balance - interest only on what you use, for as long as you use it. Also called overdraft facility, OD limit, bank overdraft Documents and contracts Due Diligence (DD) A comprehensive investigation and analysis of a business conducted before an investment, acquisition, or strategic partnership. Also called financial due diligence, legal due diligence Payments and banking ACH Transfer Batch-processed electronic bank transfers powering payroll, EMIs, and recurring payments across India. Also called Automated Clearing House transfer, ACH payment, ACH Payments and banking Beneficiary The person or entity on the receiving end of a payment, insurance claim, trust distribution, or trade finance instrument. Also called payee, beneficiary account holder

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