Which of the following is not a feature of a promissory note?
AIt contains an unconditional promise to pay
BIt must be in writing
CIt must be signed by the maker
DIt is payable to the bearer
Correct answer
D. It is payable to the bearer
Explanation
C. According to the Negotiable Instrument Act, promissory note is not payable to the bearer. It must contain an order to pay. So this is not the characteristic of promissory note. Other options are the characteristics of promissory note.