Notes payable to banks are classified as:

Notes payable to banks are typically classified as current liabilities because they represent amounts that the company is obligated to pay within the next twelve months or within its operating cycle, whichever is longer. These obligations arise from borrowing funds, and companies usually structure these loans to be repaid in short periods, making them due in the short term.

Current liabilities are a crucial part of financial statements, as they provide insight into a company's short-term liquidity and ability to meet its immediate financial obligations. While some notes payable can indeed be long-term depending on their terms, the context of the question suggests a focus on those due within the next year, aligning with the definition of current liabilities.

Long-term liabilities consist of debts or obligations that are not expected to be settled within the short-term timeframe, equity represents ownership in the company, and contingent liabilities are potential liabilities that may occur depending on the outcome of a future event. Therefore, in this case, classifying notes payable to banks as current liabilities accurately reflects the nature and typical repayment terms of these financial obligations.