Texas Promissory Notes
Create a legally compliant Texas promissory note that complies with state usury limits and includes all required provisions. Choose the note type that fits your lending situation, fill out the guided form, and download your professional PDF for $7.99.
Browse by document type across all states →
Secured Promissory Note
For loans backed by collateral such as a vehicle, property, or equipment. The lender can seize the collateral if the borrower defaults.
Complies with Texas usury limits (max 18%). Includes collateral description and default remedies.
Create Secured Promissory NoteUnsecured Promissory Note
For loans based solely on the borrower's promise to pay, with no collateral pledged. Common for personal and family loans.
Texas statute of limitations: 6 years. Max interest rate: 18%.
Create Unsecured Promissory NoteInstallment Promissory Note
For loans repaid in fixed periodic payments over a set term. Includes a detailed payment schedule with amounts and due dates.
Includes amortization-ready payment terms compliant with Texas usury law (18% max rate).
Create Installment Promissory NoteDemand Promissory Note
Payable in full when the lender demands repayment. No fixed schedule or maturity date. Common for informal arrangements.
Payable on demand under Texas law. Includes usury savings clause and default provisions.
Create Demand Promissory NoteTexas Usury Law and Note Requirements
Verified against official Texas usury statutes and Texas District Courts guidance. Last reviewed May 2026. How we verify our legal data.
A Texas promissory note is governed by the state's Finance Code, which sets the general usury ceiling at 18 percent per year for most private loans, with lower limits applying to certain loan types. When a contract is silent on interest, the Texas default rate is 6 percent.
Texas penalizes usury heavily: a lender who exceeds the limit can owe triple the usurious interest or a statutory penalty. The statute of limitations to sue on the note itself is six years under the Uniform Commercial Code. Our documents include a usury savings clause and capture the principal, rate, and repayment terms a Texas court looks for.
Frequently Asked Questions
What is the maximum interest rate for a promissory note in Texas?
Texas caps the maximum interest rate at 18% (10-18% depending on loan type). Exceeding this limit may result in penalties: Greater of three times the excess or up to $2,000 (Tex. Fin. Code 305.001); charging more than twice the authorized rate also forfeits the principal (305.002). If no rate is specified, the default legal rate is 6%. Our documents include a usury savings clause for additional protection.
Does a promissory note need to be notarized in Texas?
Notarization is not legally required in Texas, but it is strongly recommended. A notarized note is easier to enforce in court and helps verify the identities of all parties. While not required, having 1 witness is recommended.
How much does a Texas promissory note cost?
Each promissory note costs $7.99. Choose your note type, fill in your details through our guided form, and download your completed, Texas-compliant PDF instantly. Re-download available for 5 days.
What is the usury limit for private loans in Texas?
Texas caps interest at 10% per year for private written contracts under the Texas Finance Code (§302.001), unless both parties agree to a higher rate in writing - in which case the maximum is 18% per year for most personal loans. Charging above the agreed limit or the statutory ceiling is usury. Texas has civil penalties for usury including forfeiture of all interest charged. Licensed lenders operate under separate rate schedules. Lenders have 4 years to sue on a written promissory note.
Create Your Texas Promissory Note
Usury-compliant, professionally formatted, and ready to sign. Download your PDF instantly for $7.99.
Get Started