An IOU is a written but largely informal acknowledgment that a debt exists between two parties and the amount that the borrower owes the lender. Signed by the borrower, it usually indicates the date the debt is paid off but often omits other details, such as the payment schedule or interest payable. It cannot be sold or transferred to another party and offers little legal recourse to the lender if it is not respected by the borrower.
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Accounting - Finance - What is an IOU in Finance? - Vorphy
Published on December 7, 2022
Published by vorphy
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Uttar Pradesh
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Noida
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A-30, Second Floor, Lohia Rd, A Block, Sector 63
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