The parties to the agreement can decide whether to allow prepayment within the promissory note. The idea is that the borrower can pre-pay a certain amount so that he/she does not have to pay interest on the pre-paid amount. This clause favours the borrower and therefore, the lender may argue against including this clause in the agreement. If the interest is accruing daily then it is in the borrower's best interest to pay the amount back as soon as possible and in the lender's best interest to extend the time frame as much as possible. This clause is often a subject to negotiations by the parties, while they are negotiating the loan agreement that usually comes before a promissory note is executed.