BILL OF EXCHANGE VS PROMISSORY NOTE
BILL OF EXCHANGE – a three party instrument
 Stipulation relating to bills of exchange (on top, and within the body)
 Day and place of drawing
 Unconditional payment order to a payee (who receives the payment)
 Name of the drawee (debtor, who funds the payment, e.g. the bank)
 Indication of maturity (“on demand”, “30 days after sight”, “30 days after drawing”, “on Jan 4 th, 2016”)
 Place of payment (at drawee)
 Name of drawer (individual or company)
 Authorized Signer for the drawer (creditor, who owes/arranges the payment)
PROMISSORY NOTE - a two party instrument - An unconditional promise in writing 
Made by one person (the maker) to another
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Signed by the maker/promisor/debtor
Engaging to pay, on demand, or at a fixed or determinable future time
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A sum certain in money
To, or to the order of, a specified person or to bearer (the payee/promisee/creditor)
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All at once, or in X# of regular installments
At a certain rate of interest (can be zero/unmentioned) if applicable
Bill of Exchange vs Promissory Note.doc
Bill of Exchange vs Promissory Note.doc