A promissory note is a debt instrument that contains a written commitment

by one party (the note’s issuer or maker) to pay another party (the note’s
payee) a specific amount of money, either immediately or at a later date. A
promissory note usually includes all the details of the debt, including the
principal amount, interest rate, maturity date, date and location of issuance,
and the signature of the issuer.

1. Drawer or Maker: The promisor, also known as the maker or

issuer of the promissory note, is the person who creates or issues
the promissory note that specifies the sum to be paid.
2. Drawee or Payee: It is the individual on whose behalf the
promissory note is made or issued, also known as the promisee.

Necessities of a promissory note

1. The document must contain an unconditional undertaking to pay.
2. The undertaking must be to pay money only.
3. The money to be paid must be certain.
4. It must be payable to or to the order of someone in particular or to
the bearer.
5. The record must be signed by the creator.