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In this video, Seth provides a quick overview of promissory notes, describing them as lending instruments used for centuries. A promissory note is a document outlining the terms between a borrower and a lender, specifying the amount owed and any interest payments. He explains that promissory notes can be structured in various ways, such as with balloon payments, where interest-only payments are made for a time before settling the entire balance, or via straight-line amortization, which features fixed payments throughout the loan's duration without a balloon payment at the end.