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The Installment Promissory Note is a crucial financial instrument used in Australian business and personal lending contexts where structured repayment of debt is required. This document is particularly valuable when parties need to formalize lending arrangements with specific payment schedules, whether for business financing, asset purchases, or other financial transactions. The note incorporates essential elements required under Australian law, including clear identification of parties, precise payment terms, interest calculations, and enforcement mechanisms. It provides protection for both lender and borrower by clearly documenting the debt obligation and repayment terms, while ensuring compliance with relevant Australian financial services regulations and consumer protection laws.

1. Parties: Identifies the Lender (Promisee/Payee) and Borrower (Promisor/Maker) with their full legal names and addresses

2. Background: Brief context of the debt arrangement and purpose of the promissory note

3. Definitions: Key terms used throughout the document including 'Principal Amount', 'Interest Rate', 'Payment Date', 'Maturity Date', etc.

4. Promise to Pay: The core promise stating the principal amount, interest rate, and confirmation of receipt of funds

5. Payment Terms: Detailed description of installment amounts, payment frequency, and payment method

6. Interest Calculation: Method of calculating interest, whether simple or compound, and frequency of compounding if applicable

7. Prepayment Provisions: Terms regarding early payment options and any associated penalties or benefits

8. Default Provisions: Circumstances constituting default and consequences of default

9. Acceleration Clause: Conditions under which the entire balance becomes immediately due

10. Governing Law: Specification that Australian law governs the agreement and relevant jurisdiction

11. Execution: Signature blocks for all parties and witness requirements