Which of the following is typically included in a loan note?

In a loan note, key components that outline the terms of the loan are critical for both the lender and the borrower. The payment schedule details how often and how much the borrower is required to pay back the loan, which helps both parties understand the cash flow and repayment expectations. The loan amount specifies the total funds borrowed, providing clarity on the specific sum that is subject to repayment. The interest rate on the loan indicates the cost of borrowing, which directly affects the total amount to be repaid over the life of the loan.

These elements are essential in defining the agreement and ensuring that both parties are aligned in their expectations regarding repayment. The inclusion of these details in the loan note also provides legal protection and a reference point in case of disputes. This makes the response that identifies the payment schedule, loan amount, and interest rate as correct.

In contrast, property appraisal details pertain to the value of the property rather than the loan itself, while broker commission rates and property tax costs relate to transaction costs and ongoing expenses, which are separate from the terms outlined in the loan note.