Company: IPSI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076595
Chunk: 135

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 135
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.75% per annum and repayable in monthly
installments of $731 commencing twelve months after inception with the balance of interest and principal repayable on July 7, 2050.
The loan is secured by all tangible and intangible assets of the Company. The proceeds are to be used for working capital purposes to
alleviate economic injury caused by the COVID-19 pandemic.

The company has accrued interest of
$9,810 and $8,869 on this loan as of June 30, 2025 and December 31, 2024, respectively.

15

INNOVATIVE PAYMENT SOLUTIONS, INC.

Notes to the Unaudited
Condensed Financial Statements

7NOTES
PAYABLE

Notes payable
consists of the following:

  Description  Interest Rate   Maturity date  Principal   Accrued Interest   Unamortized debt discount   June 30, 2025 Amount, net   December  31, 2024 Amount, net   Cavalry Fund I LP   18.0%  Matured  $482,000   $145,270   $-   $627,270   $583,648   Mercer Street Global Opportunity Fund, LLC   18.0%  Matured   482,000    145,269    -    627,269    583,648   2024 notes     0.0 to 18.0%  February 28, 2025 to October 10, 2025   577,778    39,078    (12,512)   604,344    502,577                                       Total notes payable          $1,541,778   $329,617   $(12,512)  $1,858,883   $1,669,873  

Interest expense totaled $58,882 and
$25,123 for the three months ended June 30, 2025 and 2024, respectively, and $112,460 and $49,491 for the six months ended June 30, 2025
and 2024, respectively.

Amortization of debt discount totaled
$30,355 and $2,660 for the three months ended June 30,