Free Promissory Note Template — Philippines
Document a written, unconditional promise to pay a fixed amount in money under Philippine law. The Doxuno promissory note generator is fully aligned with the Negotiable Instruments Law (Act No. 2031) — Sections 1 and 184 — and with Articles 1956 and 2209 of the Civil Code of the Philippines (Republic Act No. 386). Specify the principal, written interest stipulation, maturity, place of payment, and acceleration clause; download a professional PDF in minutes, ready for the Filipino maker to sign before two witnesses and a Notary Public.
BEFORE ME, a Notary Public for and in Taguig City, Metro Manila, on this April 25, 2026, personally appeared Juan Carlos dela Cruz with PhilSys No. 0000-1234-5678-9012, known to me to be the same person who executed the foregoing Promissory Note and acknowledged to me that the same is his/her free and voluntary act and deed, in accordance with the 2004 Rules on Notarial Practice (A.M. No. 02-8-13-SC).
Notarial Commission No. 23-NCR-2025; valid until December 31, 2026; Roll of Attorneys No. 65432; IBP Lifetime Member No. 12345; PTR No. 9876543, January 3, 2026, Taguig City; MCLE Compliance No. VII-1234567
Doc. No. 123;
Page No. 25;
Book No. IV;
Series of 2026.
What is a promissory note under Philippine law?
A promissory note is an unconditional promise in writing made by one person (the maker) to another (the payee), signed by the maker, engaging to pay on demand or at a fixed or determinable future time a sum certain in money to the payee or to bearer or to order. Under Philippine law, the promissory note is governed by the Negotiable Instruments Law (Act No. 2031, enacted 3 February 1911 and still in force), Section 184 of which defines the instrument, and Section 1 of which sets out the general formal requirements applicable to all negotiable instruments — bills of exchange, checks, and promissory notes. The promissory note is the most common debt instrument in the Philippines: routinely used for personal loans between Filipinos, business advances, deferred payments to suppliers, settlement of obligations, and as supplemental documentation to a separate loan agreement.
For a promissory note executed in the Philippines to be classified as a negotiable instrument under Section 1 of the Negotiable Instruments Law, six requirements must be met cumulatively: (1) it must be in writing and signed by the maker; (2) it must contain an unconditional promise or order to pay a sum certain in money; (3) it must be payable on demand or at a fixed or determinable future time; (4) it must be payable to order or to bearer; (5) where the instrument is addressed to a drawee (relevant for bills of exchange — not promissory notes), the drawee must be named or otherwise indicated with reasonable certainty; and (6) it must satisfy the date and place requirements when applicable. A note that fails any of these requirements is still a valid evidence of debt under the Civil Code but does not enjoy the special protections of negotiability — particularly the holder-in-due-course doctrine of Sections 52 to 59 of the NIL.
The interplay between the Negotiable Instruments Law and the Civil Code of the Philippines is critical. Article 1956 of the Civil Code states unequivocally that "no interest shall be due unless it has been expressly stipulated in writing" — meaning a promissory note that does not state the interest rate in writing entitles the payee only to recovery of principal, plus the 6% legal interest rate from default under Article 2209 and Bangko Sentral ng Pilipinas Circular No. 799 (Series of 2013). When the promissory note is paid by check that subsequently bounces, criminal liability under Batas Pambansa Bilang 22 (B.P. 22, the Bouncing Checks Law) attaches in addition to civil collection. For consumer transactions in the Philippines, the Truth in Lending Act (Republic Act No. 3765) requires disclosure of the effective interest rate and finance charges. The 2004 Rules on Notarial Practice (A.M. No. 02-8-13-SC) govern notarization, which converts the note into a public document with strong evidentiary weight before Philippine courts.
What this Philippine promissory note covers
The Doxuno promissory note generator produces a complete instrument compliant with the Negotiable Instruments Law (Act No. 2031), the Civil Code of the Philippines, and the Truth in Lending Act.
Identification of maker and payee
Full names, civil status, citizenship, TIN, and Philippine residence addresses
Principal sum certain in money
Amount in Philippine Pesos (PHP) — in numbers and words to prevent ambiguity
Unconditional promise to pay
Section 1 of the Negotiable Instruments Law (Act No. 2031)
Written interest stipulation
Express interest rate in writing as required by Civil Code Article 1956
Maturity date or installment schedule
On demand, at a fixed date, or in installments — Sec. 4 of the NIL
Place of payment
City or municipality in the Philippines where the note is payable
Acceleration clause
Right of the payee to demand the entire balance upon any default
Penalty / late payment clause
Additional rate on overdue amounts (subject to court reduction under Civil Code Art. 2227)
Attorney's fees clause
Recoverable in case of judicial collection under Civil Code Article 2208
Co-maker / joint and several liability
Solidary obligation under Civil Code Articles 1207-1222
Truth in Lending disclosures
Effective rate and finance charges per Republic Act No. 3765
Witnesses and notarial acknowledgment
Two witnesses + Notary Public per the 2004 Rules on Notarial Practice
How to create your Philippine promissory note
No legal experience required. The Doxuno generator walks you through every section needed for a Philippine promissory note and produces a professional PDF ready for the maker to sign and notarize.
- 1
Identify the maker and the payee
Provide the full legal name, age, civil status, citizenship, Tax Identification Number (TIN), and current Philippine residence address of the maker (debtor) and the payee (creditor). For corporate parties, indicate the corporate name, SEC registration number, principal office, and authorized representative under a board resolution. Complete identification ensures that the instrument can be enforced before Philippine courts and registered, if needed, with the appropriate registry.
- 2
Specify the principal — sum certain in money
State the principal amount in Philippine Pesos (PHP) — in numbers and in words to prevent disputes. Section 1(b) of the Negotiable Instruments Law (Act No. 2031) requires "a sum certain in money" — the amount must be definite and ascertainable from the face of the instrument. A promise to pay "the value of services" or "such amount as may be determined" is not a sum certain and the document will not be a negotiable instrument, although it remains a valid evidence of debt under the Civil Code of the Philippines. Always express the currency expressly: "Philippine Pesos (PHP) ___".
- 3
Stipulate interest in writing
If interest is to be charged, state the rate clearly: "with interest at the rate of ___% per annum / per month, computed from ___." Article 1956 of the Civil Code of the Philippines requires interest stipulation in writing — oral agreements are unenforceable, and only the legal rate of 6% per annum (BSP Circular No. 799 series of 2013) accrues from default under Article 2209. Avoid unconscionable rates: although the Usury Law (Act No. 2655) is suspended in the Philippines under Central Bank Circular No. 905 (1982), Philippine courts may reduce iniquitous rates under Article 1229 (Macalinao v. BPI G.R. 175490; Spouses Castro v. Tan G.R. 168940). For consumer transactions, comply with the Truth in Lending Act (RA 3765) by disclosing the effective rate and total finance charges.
- 4
Set maturity, place of payment, and acceleration
Define when the note matures: on demand (Section 7 of the NIL — payable on presentation, no fixed time); on a fixed date (e.g., 31 December 2026); on a determinable future time (e.g., 90 days from date); or in installments (e.g., monthly amortization). State the place of payment — typically a specific bank, the payee's office, or the maker's residence in the Philippines (Section 8 of the NIL). Add an acceleration clause: "Upon default in any payment, the entire unpaid balance shall, at the option of the payee, immediately become due and payable, without need of further demand." This clause does not impair negotiability under Section 5 of the NIL.
- 5
Sign before witnesses and notarize
The maker signs at the end of the note. While the Negotiable Instruments Law does not require witnesses or notarization for validity, two attesting witnesses and notarial acknowledgment are strongly recommended for evidentiary purposes in the Philippines. Notarization under the 2004 Rules on Notarial Practice (A.M. No. 02-8-13-SC) converts the note into a public document — admissible in Philippine courts without further proof of due execution and creating a presumption of authenticity. The maker must appear personally before a Notary Public commissioned in the Philippines, present competent evidence of identity, sign in the notary's presence, and the notary records the act in the notarial register. For high-value notes, consider including a co-maker or a guarantor (solidary surety) under Civil Code Articles 2047-2084.
Legal considerations for Philippine promissory notes
A Philippine promissory note is a binding instrument that engages the maker's personal liability and may be enforced criminally if accompanied by a bouncing check. Review the points below before signing — particularly when issuing a note for substantial value, when accepting a postdated check from the maker, or when the note is to be negotiated to a third party.
This template is provided for informational purposes only and does not constitute legal advice. For promissory notes of substantial value, secured notes, notes issued by businesses, or notes intended for negotiation in commerce, please consult a Philippine lawyer admitted to the Integrated Bar of the Philippines (IBP).
Reviewed by legal professionals. The clauses, statutory references, and form requirements in this Philippine promissory note template have been reviewed against the Negotiable Instruments Law (Act No. 2031), the Civil Code of the Philippines, BSP Circular 799-2013, and current Supreme Court case law on interest reduction and B.P. 22.
Negotiable Instruments Law: form, negotiability, and holder in due course
The Negotiable Instruments Law of the Philippines (Act No. 2031), enacted in 1911 based on the Uniform Negotiable Instruments Law of the United States, remains the primary statute governing promissory notes, bills of exchange, and checks. Section 184 defines the promissory note. Section 1 lists the six form requirements: writing, signature of maker, unconditional promise to pay sum certain in money, payable on demand or at a fixed/determinable future time, payable to order or to bearer, and (for bills) drawee named with reasonable certainty. A note meeting these requirements is negotiable and may be transferred by indorsement (Section 30) and delivery, granting the transferee — if a holder in due course under Sections 52 to 59 — the right to enforce the note free of personal defenses available between the original parties (Section 57). Common defects that destroy negotiability: words of condition ("if and when"); reference to extrinsic agreements; promise to pay something other than money or in goods. Even a non-negotiable note remains valid as evidence of debt enforceable under the Civil Code, but without the protections of holder-in-due-course status.
Article 1956 written-interest rule and BSP 6% legal rate
Article 1956 of the Civil Code of the Philippines is decisive on interest: "No interest shall be due unless it has been expressly stipulated in writing." A Philippine promissory note silent on interest entitles the payee to the principal only; no interest accrues during the term. Once the note matures and the maker defaults, the legal rate of 6% per annum under Article 2209 and Bangko Sentral ng Pilipinas Circular No. 799 (Series of 2013) applies from the date of judicial or extrajudicial demand. The 6% rate replaced the previous 12% rate from Central Bank Circular No. 416 (1974) and was confirmed by the Supreme Court in Nacar v. Gallery Frames (G.R. No. 189871, 13 August 2013), which also clarified that the 6% rate applies to all judgments awarding sums of money. Where interest is stipulated in writing but at an unconscionable rate, Philippine courts may reduce it under Article 1229 in conjunction with Articles 19, 1306, and 1409 of the Civil Code (Spouses Castro v. Tan; Medel v. CA; Macalinao v. BPI — rates of 5%-7% per month commonly reduced to 12% per annum). The Usury Law (Act No. 2655) is suspended by Central Bank Circular No. 905 (1982) but the courts' equitable power survives.
Bouncing Checks Law (B.P. 22) and criminal exposure
When a Filipino maker pays a promissory note with a postdated check that subsequently bounces — for insufficient funds, closed account, or stop-payment order without valid reason — the payee may pursue both civil collection of the note and criminal prosecution under Batas Pambansa Bilang 22 (B.P. 22, the Bouncing Checks Law). B.P. 22 imposes imprisonment of up to one year, or a fine of up to double the amount of the check (with the Supreme Court favoring fines over imprisonment in Administrative Circulars 12-2000 and 13-2001), or both. Each bounced check is a separate offense. The mere act of issuing a check that bounces is the gravamen of the offense — actual deceit is not an essential element, distinguishing B.P. 22 from estafa under Article 315(2)(d) of the Revised Penal Code. The Supreme Court has clarified in Lim v. People (G.R. No. 130038) and other cases that issuance with knowledge of insufficient funds at the time of issuance triggers liability. Also, Article III, Section 20 of the Constitution prohibits imprisonment for non-payment of pure debt — but B.P. 22 punishes the act of issuing the worthless check, not the non-payment itself. Always demand that postdated checks be funded; consider notarizing the promissory note and the check arrangement to strengthen evidence.
Enforcement, prescription, and venue in the Philippines
A promissory note in the Philippines is enforced through a civil action for collection of sum of money. Venue is governed by Rule 4 of the Rules of Court: actions on contracts may be filed where the plaintiff or defendant resides at the option of the plaintiff. Republic Act No. 11576 (effective 2021) expanded the jurisdiction of the Metropolitan/Municipal Trial Courts to civil cases involving claims up to PHP 2,000,000 (PHP 400,000 outside Metro Manila); the Regional Trial Court hears claims above. Small claims procedure under A.M. No. 08-8-7-SC handles claims up to PHP 1,000,000 — fast (resolution within 30 days), inexpensive, and lawyer-prohibited. The prescriptive period for written contracts in the Philippines is ten (10) years from the time the right of action accrues (Article 1144 of the Civil Code). For oral contracts, six (6) years (Article 1145) — but a promissory note is by definition written. Demand letters by registered mail with return card to the maker's last known address are essential to (1) put the maker in mora under Article 1169 and start interest accrual; (2) interrupt the prescriptive period under Article 1155 of the Civil Code of the Philippines.
Frequently Asked Questions
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