Letter of Demand Form – aid to drafting a letter of demand

When do you use a letter of demand form?

A letter of demand form is used when you are at the final stage in the debt recovery process before instituting legal action. Normally, the things you would have tried before issuing a letter of demand would be collecting all of the information about the debt, calling the debtor and perhaps sending a payment reminder notice. These steps will ensure that you screen out the debts which do not require a slightly more forceful approach to the debt collection process, which is also more expensive. However, once you get the to point where you need a debt collection letter, it is important to have a good one which will ensure that your debt is paid.

What are the essential elements of a good letter of demand form?

A good letter of demand states the name and address of the debtor and your address and name and contact details, it will give an exact amount for the debt owing and the details of the documentation on which this is based. It will give an ultimatum that the debtor must pay within a specific time period which is usually between 7 and 14 days and that if this payment is not made, legal action will commence without further notice to the debtor and that the costs of any associated legal action will be claimed against the debtor. A letter that of demand that includes these elements will ensure that the proper notice has been given before commencing legal action and has a high rate of success in terms of recovery of debt.

What should I do if I have more questions?

Naturally, the advice of an expert is always helpful in establishing what you should do in a specific situation and nothing we say here can replace a consultation given by a professional in the field. For this reason we offer letter of demand templates and access to expert advice on debt collection. All you need do is enter your debt collection question into the box below.

Debt Collection Letter Resources