Nevada Promissory Note

Nevada does not have a general usury cap for business-to-business commercial loans. Parties may agree to any interest rate for commercial transactions. Consumer loans are subject to the Nevada Small Loan Act and related regulations. The absence of a commercial usury cap makes Nevada attractive for business lending.

Under NRS § 11.190, the statute of limitations for written contracts — including promissory notes — is 6 years from the date of breach or default. Oral contracts have a 3-year limitation period. Partial payments or written acknowledgment of the debt can restart the clock.

The promissory note itself does not need to be notarized to be valid. However, if the note is secured by real property via a deed of trust, the deed of trust must be notarized and recorded with the county recorder. Notarizing the note provides additional authentication.

The lender sends a demand letter, then may file suit in Nevada District Court (or Justice Court for amounts under $15,000). For notes secured by a deed of trust, Nevada allows non-judicial foreclosure through a trustee's sale, which is faster than judicial foreclosure. The lender can also pursue a deficiency judgment after foreclosure in certain circumstances.