Next appears the acknowledgment of indebtedness. The borrower's name is inserted. It is not necessary to add after his name his place of residence. That is often done however for identification. The borrower is designated as the obligor; he gives his obligation. He acknowledges himself indebted to the lender, known as the obligee; the person who receives the obligation. Often there are several borrowers. Bearing in mind that the lender wants the fullest security, it is customary in such event to insert the words "jointly and severally" following the names of the borrowers. By such an obligation the lender may collect from any one or all of the borrowers. Each of them makes himself liable to pay the entire indebtedness. Of course they may have any arrangement they wish between themselves for contribution, but no burden is placed on the lender to collect proportionately from them.

Following the designation of the obligee is stated the amount of the indebtedness; "........................dollars, lawful money of the United States." That is the usual form, and calls for any sort of legal tender of the United States; gold, United States notes, silver dollars and fractional currency in limited amounts. Bank notes, silver and gold certificates and certificates of deposit are not legal tender. In many countries the national paper money is worth less than its face value. While this is not so in the United States, nevertheless many foreign lenders desire that the borrower obligate himself to pay "in gold coin of the United States of the present weight and fineness." A bond containing such a form of obligation is known as a gold bond. Upon payment of such a bond the lender may accept payment in paper money, but should it be depreciated, he need not take it; he may insist on payment in gold.