Document background
The No Interest Promissory Note is commonly used in Switzerland for documenting interest-free loans between parties, whether in commercial, family, or charitable contexts. This document type is particularly relevant when parties wish to formalize a loan arrangement while explicitly excluding interest payments, which must be clearly stated to override the Swiss law presumption of interest applicability in loan agreements. The document typically includes identification of parties, principal amount, payment terms, and enforcement provisions, all structured to comply with Swiss legal requirements. It's especially useful for family loans, shareholder financing, charitable lending, or other situations where charging interest is not desired or appropriate. The note must conform to Swiss formal requirements while remaining practical and enforceable.
