The battle was one of the bloodiest in Scottish history with thousands of lives lost on 9 September 1513.
It was the nuns at nearby Coldstream Priory who brought many of the bodies from the battlefield to be buried on consecrated ground.
The memorial was unveiled by James Hopringle - a descendant of the abbess of the priory at the time.
As well as the plaque, a monument - in the shape of a Scottish broadsword - was also unveiled.
Border battlefield
It was commissioned jointly by the Flodden 1513 Club and the Ex-Coldstreamer's Committee.
The sword - made by Natalie Smith of Ancrum - points towards the battlefield over the border in Northumberland.
The Flodden 1513 Club was set up by local enthusiasts to commemorate the Scots who died in the battle.
The Battle of Flodden was fought between the invading Scots army of King James IV and an English army commanded by Thomas Howard, Earl of Surrey.
It ended in defeat for the Scottish forces, with about 10,000 lives lost, including that of the King himself.
English casualties are estimated to have been between 1,500 and 4,000.
The conflict - in which many Borderers lost their lives - is now marked by Coldstream's Flodden Day every year.
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