What is a note?

Note or Cash Flow Note is a written document that says one party owes the other one money. It says how much is owed (also called a principal balance), how much is going to be paid to the lender, how often (usually monthly) and what is the interest rate. It states also what is the security. When the payments are secured by a property, than it is a real estate note, private mortgage, or trust deed. Those are different names for the same type of note.