Document background
The Promissory Note Mortgage is a crucial document in Pakistani financial transactions, particularly used in secured lending operations. This document type is employed when a borrower needs to both acknowledge a debt and provide real property as security for the loan. The document must comply with multiple Pakistani laws, including the Negotiable Instruments Act 1881, Transfer of Property Act 1882, and relevant banking regulations. It typically includes detailed information about the loan amount, interest rate, payment schedule, property description, and enforcement mechanisms. The Promissory Note Mortgage is particularly important in both conventional and Islamic banking contexts, offering lenders security while providing borrowers with clear terms and conditions. The document requires proper registration and stamp duty payment under Pakistani law to be fully enforceable.
