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In this video, Seth provides an overview of promissory notes, a traditional lending instrument. A promissory note is a document outlining the terms between a borrower and a lender, detailing the amount owed and any interest payments involved. There are various ways to structure promissory notes, including options for balloon payments—where the borrower makes interest-only payments initially and pays off the balance at the end—or straight line amortization, which involves fixed payments throughout the loan's duration without a balloon payment. Seth emphasizes that creating a promissory note can be done quickly if needed.