Download Free Promissory Note Template for Tennessee

Written promise to pay a debt

Sales Tax: 7%Notary: $5Witnesses: 2

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PROMISSORY NOTE
State of Tennessee

Principal Amount: $[AMOUNT]
Date: [DATE]

FOR VALUE RECEIVED, the undersigned ("Borrower") promises to pay to [LENDER NAME] ("Lender"), or order, the principal sum of $[AMOUNT], together with interest.

BORROWER:
Name: [BORROWER NAME]
Address: [ADDRESS]
City, State, ZIP: [CITY], TN [ZIP]

LENDER:
Name: [LENDER NAME]
Address: [ADDRESS]
City, State, ZIP: [CITY], TN [ZIP]

TERMS:
1. Interest Rate: [RATE]% per annum
2. Payment Schedule: [SCHEDULE]
3. Payment Amount: $[AMOUNT] per [PERIOD]
4. Due Date: [DATE]

LATE PAYMENT: A late fee of $[AMOUNT] will be charged for payments more than [DAYS] days overdue.

DEFAULT: If Borrower defaults, Lender may declare the entire unpaid balance immediately due and payable.

PREPAYMENT: Borrower may prepay without penalty.

GOVERNING LAW: This note is governed by Tennessee law (TN Statutes).

BORROWER SIGNATURE: _____________________ DATE: _____
    

Tennessee Promissory Note Requirements

Review the following requirements to ensure your Promissory Note is legally valid in Tennessee.

Interest rate must comply with usury laws
Payment schedule required
Default terms must be specified
Borrower and lender signatures required
Notarization recommended
Collateral description if secured
Late payment penalty terms
Prepayment clause recommended
Governing law stated
Witness signature recommended

Tennessee Notarization

Tennessee requires 2 witnesses and notarization may be mandatory. Fees typically range from $5.

Before You Sign

Review all information carefully. In Tennessee, a 7% sales tax may apply.

Legal Protection

Keep copies of all signed documents. Tennessee law requires all parties to receive copies of executed documents.

Tennessee Filing Deadlines

Check Tennessee deadlines for filing or recording this document with the appropriate county clerk's office.

Promissory Note Costs in Tennessee

Estimated fees and processing times

Fee TypeCostNotes
Notary Fee$5-$15 (if required)Tennessee standard rate: $5
Filing FeeVaries by stateState registration (if applicable)
Processing Time1-3 business daysTypical turnaround in Tennessee
Sales Tax7%Tennessee base rate (local taxes may apply)
Witness Requirement2 witnessesTennessee requires multiple witnesses
Our TemplateFREEDownload instantly, no cost
Fees shown are Tennessee-specific estimates. Contact your local office for exact pricing.

FAQ: Promissory Note in Tennessee

Is a Promissory Note required in Tennessee?

Yes, in Tennessee, a Promissory Note is required for most transactions of this type. Under Tennessee State Code, the document must include all parties' information, be signed, and witnessed by 2 individuals. Failure to use a proper Promissory Note may result in legal complications.

Does a Promissory Note need to be notarized in Tennessee?

Notarization requirements in Tennessee (TN) vary by transaction type. Notary fees in the state typically range from $5. While not always mandatory, notarization adds an extra layer of legal protection and is recommended for high-value transactions.

What are the tax implications of a Promissory Note in Tennessee?

Tennessee has a base sales tax rate of 7%. Depending on the type of transaction documented in your Promissory Note, additional local taxes may apply. Consult with a Tennessee tax professional for specific guidance on your situation.

Is a promissory note legally binding?

Yes, a properly executed promissory note is a legally binding contract. It must include the principal amount, interest rate (if any), payment terms, maturity date, and signatures of the borrower. Some states require notarization for certain amounts.

What happens if a borrower defaults on a promissory note?

If a borrower defaults, the lender can demand immediate payment of the full balance, charge late fees as specified in the note, report to credit bureaus, and take legal action to collect the debt. The note should specify the remedies available upon default.

Can I charge any interest rate on a promissory note?

No, interest rates are subject to state usury laws, which set maximum allowable rates. Charging interest above the legal limit can result in penalties and may make the entire note unenforceable. Check your state's usury limits.

Tennessee Promissory Note Legal Guide

According to Tennessee laws, this agreement holds legal weight once properly signed and notarized, ensuring compliance with state regulations.

Pursuant to Tennessee State Code in Tennessee, this Promissory Note must meet specific criteria. The applicable sales tax is 7%. Notarization, which costs $5 in TN, is strongly recommended. 2 witnesses are needed.

This document offers comprehensive legal protection tailored specifically to Tennessee's unique statutory framework.

borrowerlenderprincipal amountinterest ratepayment scheduleloan agreementpromissory note formdebt obligation
A properly executed Promissory Note in Tennessee protects all parties involved and ensures compliance with TN state law. Below, we cover the critical steps, common pitfalls, and state-specific rules you should be aware of before signing.

Step-by-Step Process

1. **Download the template** — Our Tennessee-specific form includes all fields required by TN law.
2. **Enter your information** — Fill in names, addresses, dates, and transaction details accurately.
3. **Review carefully** — Double-check all entries against your source documents.
4. **Sign and witness** — Execute the document according to Tennessee's signature requirements.
5. **Notarize if needed** — Some Tennessee transactions require notarization.
6. **File or distribute** — Provide copies to all parties and file with the appropriate Tennessee office if required.

Expert Recommendations

Legal professionals in Tennessee recommend:
- Always use a state-specific template compliant with TN statutes
- Have documents reviewed before signing high-value agreements
- File copies with the appropriate Tennessee government office when required
- Update your documents annually to reflect any changes in TN law

Enforceability in Tennessee

A Promissory Note that meets all TN requirements is fully enforceable in Tennessee. Courts in Tennessee have consistently upheld documents that demonstrate clear intent, proper execution, and compliance with state formalities. Keep your original signed copy in a secure location.

Legal Standards in Tennessee

Under TN state code, your Promissory Note must contain several mandatory elements. Tennessee courts have consistently held that documents missing key provisions — such as proper identification of parties or adequate descriptions — may be challenged or voided entirely.

JRJ
Reviewed & Fact-Checked

Jennifer Rodriguez, J.D.

Estate Planning Attorney

Licensed in 5 states, 12+ years experience

Focuses on wills, trusts, and power of attorney documents

This Promissory Note template for Tennessee has been reviewed for accuracy and legal compliance.

Last reviewed: March 2026

Where to File Your Promissory Note in Tennessee

Visit your local County Clerk office to file or notarize your Promissory Note.

Tennessee County Clerk

Tennessee Capital

Main Government Building, Tennessee

District County Clerk

Tennessee Metro Area

County Courthouse, TN

Document Information

Document
Promissory Note
State
Tennessee (TN)
Category
Financial
Format
PDF / Word / Print
Cost
100% Free
Sales Tax
7%
Notary Fee
$5

Tennessee Legal Requirements

Governing Statute:

State Commercial Code

  • Must be in writing for amounts over $500
  • Clear payment terms required
  • Interest rate must comply with usury laws
  • Signature of borrower required

📊 Promissory Note vs. Loan Agreement in Tennessee

Promissory Note
Loan Agreement
Promissory Note is a promise to pay
Loan Agreement includes detailed terms
Tennessee usury laws limit interest rates
Notarization in Tennessee: $5
Comparison based on Tennessee state law. Requirements may vary by county.

Legal Disclaimer

This template is for informational purposes only and does not constitute legal advice. Laws in Tennessee may change. Consult a licensed attorney for advice specific to your situation.