Yes, as much as any collateral doesn't cover the unsecured promissory note, the lender can still collect from a noncomplying borrower. That is to say, if the borrower doesn't honor repayment terms on the note, then the lender can file a court suit, report to a debt collection agency, or demand payment in any other legal way. Before signing an unsecured promissory note, you should remain certain that you will be able to repay the lender as per the agreement. note that if you follow the terms and conditions of the unsecured promissory note, the whole process of loan acquisition can be quick and efficient.