Document background
A Personal Guarantee Promissory Note is commonly used in lending and credit arrangements where additional security is required beyond standard contractual obligations. This document, governed by English and Welsh law, combines the features of a promissory note with a personal guarantee, making it particularly useful for securing business loans, private lending arrangements, and other credit facilities. It includes specific payment terms, guarantee provisions, and often incorporates security arrangements. The document provides creditors with enhanced protection by creating personal liability and a clear acknowledgment of debt, while ensuring compliance with relevant legislation including the Bills of Exchange Act 1882 and the Law of Property Act 1925.
