The IOU should read:
1. The borrower and lender shall make clear and consistent statements. All personnel must have the same name with their ID cards. The ID card number shall be attached to the name and the borrower's ID card shall be copied. It would be better if the IOU could be written on the top of the ID card copy.
2. The amount involved shall be in figures and words to prevent tampering.
3. Indicate the lending method, cash or transfer, the purpose, loan term and repayment date. To be prudent, the term and repayment date are in words.
4. Write the interest rate clearly, and accurately express it in the form of annual interest rate and monthly interest rate. Do not use a few minutes of monthly interest rate to avoid ambiguity.
5. It shall specify how to pay overdue interest if the borrower fails to repay within the time limit, so as to urge the borrower to repay.
6. If the husband and wife borrow money, they should ask both of them to sign on the borrower and press their fingerprints.
7. It is better for the lender to provide paper and black ink pen for writing the IOU, so as to prevent the borrower from writing the IOU with a fade pen and damaging the interests of the lender.
8. Do not use large gaps in the title, body, signature and date to prevent increase or decrease.
Attached debit note template:
Debit note
In order to purchase a vehicle, I received Zhang Xiaoxiao (ID No. XXXX) by transfer
Borrowed RMB one hundred thousand only (￥ 100000.00) for twelve months at a monthly interest rate of 100%
One (1%), the principal and interest due on March 4, 2023 shall be repaid together. If it is overdue.
We are willing to pay overdue interest at the monthly rate of 100% (2%).
This is the basis.
Borrower: XXX (ID No. XXXX)
March 4, 2013
[Legal Basis]
Article 668 of the Civil Code
A loan contract shall be in writing, except where the loan between natural persons is otherwise agreed.
The contents of a loan contract generally include terms such as the type, currency, purpose, amount, interest rate, term and repayment method of the loan.
