Announce Your Intention to Take Aggressive Action Against a Customer For Failing to Make Payment — Collections 6 of 6 • Example Letters, Guides and Samples
This is the sixth and final letter in the collection series. You may choose to keep it brief and impersonal, or you may write a longer, more persuasive letter. In either case it is imperative that you let the customer know exactly what the penalty will be unless he or she responds immediately with the payment. Don't make an empty threat. You must be prepared to follow through.
How to write this collection letter:
- Mention that you still have not received the overdue payment.
- State what action you plan to take against the customer if the bill is not paid immediately.
Example Letter #1
We are disappointed you have not taken care of your account with our company. You now have two options: Forward your payment to our office by July 15, or become a party in a legal action. A court judgment may add court costs to your obligation. A judgment against you will also damage your credit record.
Example Letter #2
Your account remains seriously delinquent. You must make full payment now to avoid further collection action.
When we receive your check or money order payable to Doe Corporation, we will then stop all collection activity on your account. Act immediately and preserve your credit.
Example Letter #3
As you may expect, I am demanding payment of your overdue account of $542.87. Regardless of my efforts to resolve the issue of the debt, you have neither paid anything on the account nor notified me of a problem. Unless I have your payment in my office in three days from the date of this letter, I am turning over your account to the Doe Collection Agency. Your valuable credit may be adversely affected as a result of your failure to pay or respond.
Example Letter #4
Your account remains seriously past due. We have not received a payment for over 90 days, and you have not responded to our inquiries. If a minimum payment of $100 is not received in our office by May 5, 2019, we will turn your account over to a collection agency.
Example Letter #5
We are disappointed that you have not taken the initiative to make reasonable arrangements to resolve your delinquent balance. If we have not received payment in full of the entire delinquent balance by July 1, 2019, your file will be referred to our attorney for possible legal action. If you wish to avoid legal action against your company and the possibility of incurring court costs, attorney's fees, and considerable inconvenience, remit certified funds for $2,500.00 or contact me at 555-5555 to discuss reasonable arrangements to do so. If this matter is not resolved by July 1, 2019, all further correspondence will need to be made through our attorney.
Write Your Letter Step-by-Step
1 Mention that you still have not received the overdue payment.
Sample Sentences for Step 1
- I trust you know that this letter deals with your late payment, as we have already sent you five notices.
- I have written you at least five times to inquire why your account has not been paid.
- Since you have not responded to any of my past correspondence, I have no other option but to take aggressive action to collect your payment.
- This letter is our final appeal for you to remit payment.
- We regret that we still have not received payment for your September 18 purchase.
- Because you have lacked the courtesy to call us with regard to paying this debt, you leave us no choice but to take legal action.
- I am not sure why you have withheld payment for so long, but I must inform you that this is your final notice.
- We have not received a reply to any of our earlier letters, so we are informing you that we must use other aggressive action to collect the balance on your account.
Sample Phrases for Step 1
- agreed to send your payment without delay
- because you have failed to respond
- concerning your delinquent account
- concerning your past due payment
- extremely late payment
- five different occasions
- for the money you owe us
- have not received any response
- have ignored our requests
- have disregarded our requests
- have written you at least five times
- have not responded
- have written you concerning your delinquent account
- have reminded you five times
- have not responded
- have sent you five notices
- have yet to receive an answer
- have withheld payment
- immediately after our last correspondence
- inquire why your account has not been paid
- previous letters and statement reminders
- previous efforts were unsuccessful
- regarding your delinquent account
- regarding your overdue account
- regret that we still have not received
- this letter is our final appeal
- were unable to resolve the matter
- with regard to paying this debt
- your account remains seriously delinquent
- your failure to respond
2 State what action you plan to take against the customer if the bill is not paid immediately.
Sample Sentences for Step 2
- If we do not receive payment in full by June 15, your account will be turned over to the Doe Collection Agency.
- If you do not send the full $1,500.00 by October 21, I will take the matter to court.
- Unless full payment is made by April 15, representatives from our company will repossess the furniture you purchased.
- If we do not hear from you by November 3, we will refer this account to our attorney to pursue legal action.
- If you wish to avoid legal action, along with the additional costs and inconveniences, please remit the total amount due immediately.
- If we have not received the $2,000 by July 19, 2019, we will refer your account to our attorney for collection of this balance.
- On December 19, we plan to turn your account to a collection agency. You can prevent this action by remitting payment before that date.
- If we do not receive payment within the next ten days, we will contact our attorney to take legal action against your firm.
- We must now insist that you forward payment immediately. If you do not act quickly, we will authorize the Doe Collection Bureau to pursue aggressive collection measures on your account.
Sample Phrases for Step 2
- according to the terms of the contract
- account will be given to
- have no other choice but to
- if we do not receive payment
- if we do not hear from you by
- if you do not send payment
- if you do not remit payment
- legal action against your firm
- must make full payment now to avoid further action
- must act quickly to avoid
- must take more aggressive action
- plan to refer your account over to a collection agency
- pursue aggressive collection efforts
- pursue legal action
- repossession will result
- representatives from our company will repossess
- seek legal action
- seek legal assistance
- since you have not responded
- take legal action against your firm
- unless full payment is made by
- will refer the matter to our attorney
- will secure legal assistance
- will take the matter to court
- your account will be turned over