Not a blank template - your details are filled in, formatted to Colorado law, and ready to sign.
Prepare a legally proper Secured Promissory Note for Colorado that incorporates all required terms under Colorado promissory note law. Fill in your loan details and download your completed, ready-to-sign Secured Promissory Note as a professional PDF.
Colorado law governs promissory notes with specific usury limits and enforcement rules that protects both creditor and borrowing party. The usury limit in Colorado is 45% maximum for consumer loans. Lenders have 6 years to file suit to collect on a promissory note in Colorado. Colorado law requires 4 specific elements in a valid promissory note.
Colorado Promissory Note Requirements
Max Interest Rate45%
Rate Details45% maximum for consumer loans
Usury PenaltyExcess interest voided
Statute of Limitations6 years
NotarizationRecommended
WitnessesRecommended (1)
Governing AgencyColorado District Courts
Required Elements Written agreement signed by borrower; Detailed collateral description; Interest rate disclosure; Lien filing if applicable
What to Include in a Colorado Secured Promissory Note
Every Secured Promissory Note in Colorado should include the following critical provisions: the full legal names and addresses of both the note holder and borrower, the principal loan amount, the interest rate (which must not exceed 45% maximum for consumer loans under Colorado law), the repayment schedule and due dates, any late payment penalties, the consequences of default, and the governing law clause. Because this is a secured promissory note, you must also describe the collateral in detail, including how it will be valued and the lender's right to seize it upon default.
Colorado requires the following elements in a valid promissory note: written agreement signed by borrower, detailed collateral description, interest rate disclosure, lien filing if applicable.
How to Complete a Colorado Secured Promissory Note
To complete a Secured Promissory Note in Colorado, start by gathering the necessary information: the full legal names and addresses of both parties, the loan amount, the agreed-upon interest rate (must be at or below 45% maximum for consumer loans in Colorado), the repayment terms, and any collateral details if applicable.
Our platform walks you through each section with a guided form tailored to Colorado requirements. Once you have filled in all details, you can preview the document, choose from five professional document styles, and download your completed Secured Promissory Note as a PDF.
Frequently Asked Questions
What is the maximum interest rate for a promissory note in Colorado?
Colorado caps interest at 45% maximum for consumer loans. Charging above the legal limit is usury - in Colorado, the penalty is: excess interest voided. Always confirm the current rate with an attorney, as usury laws can change.
Do I need a notary for a promissory note in Colorado?
Notarization is not required in Colorado for a promissory note to be legally valid. Notarizing it anyway is strongly recommended - it deters forgery claims, simplifies court enforcement, and makes the note self-authenticating as evidence. Having 1 witness is also recommended.
What happens if a borrower defaults on a promissory note in Colorado?
Upon default, the lender may demand immediate repayment of the full outstanding balance, charge any default interest rate specified in the note, and file suit in Colorado court. As a secured note, the lender may also seize and sell the collateral to recover the outstanding amount. Lenders have 6 years from the date of default to file a lawsuit under Colorado's statute of limitations for written contracts.
What collateral can be used for a secured promissory note in Colorado?
Common collateral for secured promissory notes includes real estate, vehicles, equipment, bank accounts, or valuable personal property. The collateral must be described in detail in the note - make, model, serial number, or legal property description depending on the asset type. The lender's right to seize and sell the collateral upon default must also be clearly stated. For real estate collateral, a separate deed of trust or mortgage is typically also required.
What is the difference between a secured and unsecured promissory note?
A secured promissory note is backed by collateral - if the borrower defaults, the lender can seize the collateral to recover the debt. An unsecured note relies solely on the borrower's promise to repay; the lender must sue and obtain a judgment to collect. Secured notes carry less risk for the lender and typically carry lower interest rates as a result.
What must be included in a Colorado Secured Promissory Note?
A valid Secured Promissory Note in Colorado must include: Written agreement signed by borrower; Detailed collateral description; Interest rate disclosure; Lien filing if applicable. Our platform automatically includes all required elements formatted to Colorado standards.
What are Colorado's usury laws for promissory notes?
Colorado does not impose a general usury cap for written business-to-business or individual-to-individual loans - parties may agree to any rate in writing (C.R.S. §5-12-103). If no rate is agreed to, the default rate is 8% per year. Consumer loans are regulated under the Colorado Uniform Consumer Credit Code (UCCC) with specific rate limits. Colorado's 6-year statute of limitations applies to written promissory notes.
Ready to Create Your Colorado Secured Promissory Note?
State-compliant interest rate limits, all required terms, and professional formatting included. Download your PDF instantly.
