Free IOU template — write one in 60 seconds

An IOU is the simplest written record of a debt: who owes whom, how much, and by when. Make one both people sign — not just a scribble on a napkin.

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An IOU ("I owe you") is the lightest possible record of a debt. It works for small, friendly amounts where a full loan agreement feels like too much — but you still want it written down.

What goes in a good IOU

The borrower’s name and the lender’s name.
The amount owed.
The date it’s due (or "on demand" if there’s no fixed date).
Both signatures, so it’s a shared record rather than one person’s note.

The difference between a napkin IOU and a useful one is that both people sign the same version. That’s what turns "I think we said $40" into a clear, agreed record.

IOU or loan agreement?

If there’s a repayment schedule, interest, or a larger sum, a loan agreement fits better. For a quick, one-line debt, an IOU is perfect.

Common questions

Does an IOU need to be witnessed or notarized?

For everyday amounts, no — a clear IOU that both people sign is a solid record. Notarization is for higher-stakes documents; this is meant to stay simple.

What’s the difference between an IOU and a promissory note?

An IOU acknowledges a debt; a promissory note also includes a promise to repay on specific terms. We explain the difference in plain English in our guide on IOU vs promissory note.

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Last reviewed June 2026. itsadeal.ai is a drafting helper for everyday, low-risk agreements — not a law firm, and nothing here is legal advice.