Sample Collection Letters: A company or an individual needs to make a collection letter when the credit given becomes due or overdue. The letter is written in a polite manner because it is very important to maintain a good relationship with the customers in case of businesses. A collection letter is like a notification for the debtors who haven’t cleared their dues.
While creating a collection letter, you must first study the situation and then continue with the letter. Generally, the laws for the collection of debts are set by the state and central government, so you need to consider every rule while drafting a collection letter and avoid every legal trouble in the future. The collection letter is considered to be a type of warning to the debtors so that they won’t be late in clearing their dues.
Get Other Types of Letter Writing like Formal, Informal and Different Types of Letter Writing Samples.
Format for Collection Letters
Before writing a collection letter, you must know the format of collection letters so that you won’t commit any mistake in the letter. Let’s discuss the sequentiality:
- A collection letter is considered to be an authentic document about the business relationship between two parties.
- The first thing that every writer must remember is the tone of the letter. Any mistake in this part can ruin the purpose of the letter. The letter should maintain a professional and formal tone.
- Try to use polite words because you are talking with your customers with whom you don’t want to break your relationship.
- The letter should contain the name of the receiver, and the date should be mentioned in the letter for future reference.
- The letter should mention the products or services for which the payment is due.
- It is necessary to mention the mode and time of payment.
- The letter should give a hint on the terms and conditions on which both the parties agreed.
Collection Letter Samples
Here is the list of some collection letters that will give you an idea of how to write collection letters:
Collection Letter to Customer
Dear (client),
You have been shopping with us for the last few years, and you have become a valued customer of our company. You have always paid your bills before the due date, which is why we had never worried about your payments.
This letter is just a reminder that our company has not received your payment of amount 0000 for the invoice ####. If you have forgotten to mail us the check for the above amount, then kindly mail it today and if you have mailed the check, then disregard this letter.
If you have any problem regarding the payments then feel free to call us, we will definitely try to solve your problem at the earliest possible.
Sincerely,
(Name)
(Title)
Invoice Payment Collection Letter
Holiday Resort
Marine Drive
Puri, Odisha
Re: Unpaid invoices amounting to Rs 50000
Dear (client),
This letter is drafted to remind you of our agreement which stated that you are obliged to pay us a total amount of Rs 50000 for the services we provided on the date 28-02-2020.
( This letter includes facts surrounding your issue such as how we had an agreement, date of the agreement, what you agreed to and how payment hasn’t been made before the due date)
Your failure of paying the amount before 28th March lead to a breach of contract.
Kindly acknowledge the receipt of this letter within five business days and complete your payment before 10th April 2020, or else I will be forced to take legal action.
Thank you for your attention regarding this matter. If you face any confusion, feel free to call us.
Sincerely
(Name)
(Title)
Collection Letter for Outstanding Amount
(Date)
(Name)
(Address)
Re: Outstanding Account
(Name)
This letter is to remind you that your account balance of amount 0000 has become overdue on the date ####. We have enclosed a statement of your account for your reference.
Please arrange payment for this account as soon as possible. If you are incapable of paying the full amount at the instant, then please call us, we will make some mutually acceptable arrangement.
Your immediate attention to this matter will be highly appreciated. If you have any queries regarding the dues payment, then feel free to call us.
If you have made the payment recently, then ignore this reminder.
Regards
Yours faithfully,
(Name)
Debt Collection Letter
Dear (name),
This letter is drafted just to remind you that your account is past due. According to our reports and financial statements, your balance of Rs 50000 is currently 10 days past due. To give you an idea about this matter, we have emailed your account statements.
In case you were unable to receive this message and the documents, for that we have included a summary for the account below:
- Invoice Number
- Invoice Date
- Amount
- Due Date
- Days Past Due
- Description
We will be very thankful if you can inform us about the payment status of this account. Please contact us and make the payment of RS 50000 as soon as possible. If you are unable to pay the full fees, then inform us about that too so that we can help in reducing the pending amount.
Kindly give attention to this matter and make the payment.
Yours sincerely,
(Name)
Payment Collection Letter
Dear (name),
We are writing this letter to bring your attention to the pending payment of the product, which was ordered on 22nd February 2020 and was shipped on 23rd February 2020.
Invoice Number -12345
Quantity Delivered – 10000
Pending Amount – Rs 600000
You might remember our terms and conditions in which it is clearly mentioned that we don’t encourage late payments. So please clear dues on or before 5th March 2020. As usual, you can make the check payment.
If you have any queries regarding this matter, then feel free to call us; we will clear all your doubts.
Thank you for your business
Yours sincerely,
(Name)
Collection Letter for Due Amount
Dear (name),
This is regarding the pending amount which you haven’t paid, and we are writing this letter to you on behalf of your creditors.
We would like to inform you that the amount of Rs10000 was due on 23rd March, but as the company received no payment, your invoice is considered overdue. We have attached the contract between you and the creditor along with the invoice in this letter.
In order to avoid any penalties, consider clearing this due as soon as possible.
If you have any queries regarding the payments, then you can call us.
We are sure that you will clear this out as soon as possible.
Yours faithfully,
(Name)
Friendly Collection Letter
Date
(Recipient Name)
(Name of the company)
(Street Address)
(Recipient Phone Number)
Final Notice: Payment due on the invoice
Dear (name),
This letter is meant to notify you that the payment for invoice #### of amount 12345 has not been received till now. It was due on the date 23rd March 2020.
I have already sent many letters to your address regarding this matter, but till now, I haven’t received any mails in reply, nor the payment is cleared. So this is my final reminder.
If you are still ignoring this letter, then I will be forced to transfer this matter to a professional debt collection agency.
To avoid such a situation, please send your payment as soon as possible.
Yours sincerely,
(Name)
Official Collection Letter
December 2020
Sec 1/10
456 Main Street
Anywhere, NH 12345
Account no / invoice : 123
Balance due till now: $100.00
Dear (name),
This is a reminder for you that your account balance of $100 has become overdue on the date 23rd March 2020.
Please pay this amount and clear your dues as soon as possible. I have included an address and stamped payment envelope with this letter for your convenience.
If you have any queries, then please call me and clear your doubts regarding the dues.
Thank you for your cooperation
Yours sincerely,
(name)
Collection Letter on Company
Dear (name),
We are writing you this letter to remind you that the payment for our services dated 23rd March 2020 is still due and we haven’t received any payments till now.
The due date for this payment was on 31st March 2020, but we didn’t receive any check before that.
Kindly look into this matter and try to make the payment as soon as possible. You can also write me a letter and explain the reason for these late payments and when are you planning to clear the dues.
We hope you will take this matter seriously and resolve it as soon as possible.
Yours sincerely,
(Name)
School Fees Collection Letter
Dear (name),
We want to inform you that the school fees for your child is still due and we are about to have the final exams next week.
Please clear your dues before this week’s end, or else we can’t allow your child to give the final exams.
You need to clear all outstanding dues for making your child eligible to give all the exams.
Kindly look into this matter and clear the payments as soon as possible so that your child will not face any problems.
We hope you will cooperate with us.
Yours sincerely,
(Name)
