Which term refers to the date a payment is due on a promissory note?

The term that refers to the date a payment is due on a promissory note is "Maturity Date." This is a key concept in financial agreements, such as promissory notes, which are written promises to pay a specified sum of money at a certain time. The maturity date signifies when the borrower must fulfill their obligation to repay the principal amount along with any interest accrued.

Understanding the maturity date is crucial because it establishes a timeline for repayment, which can affect a borrower’s financial planning and the lender's expectations for payment. In many financial instruments, the maturity date can also trigger the start of other contractual commitments or consequences if the payment is not made, emphasizing the importance of recognizing when this date arrives.

The other terms, while related to payment schedules or deadlines, do not specifically define the final payment date on a promissory note. "Settlement Date" generally relates to the completion of a transaction in securities or real estate, "Due Date" can imply any payment deadline but lacks the specificity tied to the terms of a promissory note, and "Expiration Date" typically refers to the end of an option or validity period rather than a specified payment obligation. Therefore, "Maturity Date" is the most accurate and accepted term