What is NOT created if a note lacks the proper signature during a loan closing?

During a loan closing, the proper signatures are crucial for creating legally binding documents. If a note lacks the proper signature, it specifically affects the enforceability of the promissory note itself. A promissory note is a written promise to pay a specified sum of money to a designated party. Without a signature, the intent to create this obligation is absent, meaning the document does not hold up legally as a promise to repay.

The other concepts listed, such as collateral, trust deed, and indebtedness, rely on the existence of a signed promissory note to facilitate the complete financial transaction. Collateral refers to assets pledged against the loan, while a trust deed is used as a means to secure the loan with real property. Indebtedness, as a general financial obligation, exists inherently due to the agreement but can’t be enforced without the promissory note. Therefore, the lack of a proper signature specifically prevents the creation of a valid promissory note, making it essential for the transaction's legality and enforceability.