Strong Collection Letter for Overdue Payment on Invoice

Payment reminders are needed many times on the outstanding payment from clients. Sometimes, you have to write strongly to get the payment released.

You need to keep following up by letters, emails and phone calls to get the payment if the party is not cooperating. You may take the help of professional debt collection firms too. If still the party does not pay, then you can take the matter to a court of law.

Here is an example of such a collection letter to get the overdue payment from an organization. Please modify it suitably.

TEMPLATE

Date: ________

To

(Name of the Officer)

(Designation)

(Name of the Department)

(Name of the Organization)

(Office Address)

Reg.: Outstanding dues.

Dear Mr./Ms. ________,

This is with reference to the payment outstanding from your organization on our invoice no. ________ dated _______ for an amount of ________, which has been pending for a long time now since (Date).

We have sent you several written reminders and called you over the phone on this matter. We are quite disappointed to say that you have repeatedly ignored our requests for the said payment, nor have you provided any genuine explanation so far.

This is your final reminder on the payment. Unless we receive the payment from you in full by the end of business hours on (Date), interest will be applicable at __% per annum from the due date, and we will be forced to take further stringent steps on this. This may include turning your account over to a professional collection agency, and/or taking this matter to a legal forum.

We strongly hope that you understand the gravity of this issue, and would take sincere efforts to make the full payment at the earliest to prevent us from taking any extreme steps, which may hurt your credit worthiness in the market.

Sincerely,

    (Signature)

(Name of the Officer)

(Designation)

(Name of the Company)