11 Exclusive Collection Letter Samples & Examples

In this article, some exclusive and free-to-edit collection letter samples and examples are provided for your ease. Every business has debts that need to be collected on time. Some debtors pay on time while others might not. It could be due to many reasons like the debtor simply forgetting to pay the undue amount or they were not able to pay the unpaid amount due to a lack of resources.

Whatever the reason might be, the business has to take steps to collect its debts or any unpaid amount. For that purpose, a collection letter can be written to the person owing the money. It is to bring their attention to the outstanding amount that they owe to the business. However, while writing any such letter, it must be kept in mind that the customers or clients are an integral part of a business. So it is very important to maintain a good relationship with them.

What is a Collection Letter?

A collection letter is a simple letter that is written by the business to remind the debtor to pay the unpaid debt they owed. It can be thought of as a letter that is used to remind or notify a person about the payment that they are required to pay to the business. A collection letter can be written to anyone who owes money to the business like a permanent or a regular debtor or an occasional customer who has purchased anything on credit.

A collection letter can also be written by the management of an educational institution in case a student has not paid their fee. Almost all businesses run to provide the facility of credit for some period. However, when that credit limit is past due, it is the duty of the business management to ensure the issuance of collection letters or payment reminder letters to its debtors.

Get FREE Collection Letter Samples & Templates

School Fee Collection Letter

[Name of Recipient] [Address of Recipient]

Date:

Subject: School Fee Collection Reminder

Dear Mr. / Mrs. [Name of the Recipient],

This is to remind you that the school fee of your child, [Name of the Student], studying in grade [mention Grade/Class] at [mention Name of the School] is due to be paid. I must also remind you that in respect of three months fee, a total sum of [mention Amount] is required to be paid.

So, kindly clear your dues within the next [mention Number of Days] days. Otherwise, we will have to take some serious action in this regard.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Payment Collection Letter to Company

[Name of Recipient] [Designation of Recipient] [Organization Name]

Date:

Subject: Payment Collection Reminder for Services

Dear Mr. / Mrs. [Name of the Recipient],

This letter is to remind you that your company [mention Name of the Company] acquired our services for interior decoration of your new office as at [mention Date]. A sum of [mention Amount] is due in respect of the services provided. Following are the details of the outstanding amount:

Invoice Number:

Invoice Date:

Invoice Amount:

As of this day, the above-mentioned invoice is [mention number of Days] days past due. We realize that you have not done it intentionally but we felt responsible for reminding you about the undue amount. We hope that you will clear our dues within the next [mention Number of Days].

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Official Collection Letter Sample

[Name of Recipient] [Address of the Recipient]

Date:

Subject: Balance Overdue Reminder

Dear Mr. / Mrs. [Name of the Recipient],

This is to remind you that your account balance of [mention Amount] is currently overdue. The account became overdue at [mention Date]. The details of the overdue amount are:

[Mention Details of the Overdue Amount]

So it is requested to pay the outstanding amount as soon as possible. You can also make payments via online transfer or through a debit or credit card. The details of our bank account are:

[Mention Bank Account Details]

Feel free to contact us via the given below contact details.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Friendly Collection Letter Example

[Name of Recipient] [Address of the Recipient]

Date:

Subject: Outstanding Amount Reminder

Dear Mr. / Mrs. [Name of the Recipient],

While reviewing customer accounts, I have noticed that a sum of [mention Amount] is past due on your account with our company [mention Company Name]. The amount is currently [mention Number of Days] days past due. The details of the amount are:

Invoice Number:

Invoice Date:

Invoice Amount:

Description:

So, it is requested that you pay this outstanding amount within the next [mention Number of Days] days. However, if you have already paid the aforesaid amount, then please ignore this letter. Feel free to contact us for any details or queries.

Thanking you in anticipation.

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Tips for Writing a Perfect Collection Letter?

In order to know how to write a collection letter, it is very important that you must know the proper format for writing. For this, you should keep in mind the parties involved and the main purpose or objective of writing any such letter. So in order to write an effective and perfect collection letter, make sure to keep in mind the following useful tips:

• Include all the relevant details related to the pending or unpaid amount in your letter. This includes the number, date, amount, and description of the invoice or of the due amount. Don’t forget to miss any important detail.
• If you have written multiple letters earlier or have tried other methods for reaching the recipient, include references in your letter.
• The most important thing to keep in mind is that you don’t want to ruin your relationship with your customers, right! So make sure to write your collection letter in a very polite and courteous tone.
• The letter must include the name and address of the receiver. If it is written to an organization, it must include the recipient’s designation as well as the name of the organization.
• In the main text of the letter, explain to the reader what is the actual purpose of writing the letter. Tell them about the details of the unpaid amount. Also mention the number of days by which the debt is overdue.
• You can also give a brief reference of the terms and conditions of the contract, if any, between you and the recipient.
• Try to keep the letter concise and to the point. Don’t go for writing a lengthy letter however, be careful not to miss any important details too.
• If you are writing a collection letter on behalf of an organization, it is a good practice to use the organization’s letterhead while writing such a letter.
• You can also accompany the copy of the relevant invoice or any other important statement along with the collection letter.
• Clearly mention the period in days by which you expect payment from the reader.
• Just before ending the letter, let the reader know that in case of no response from them, you will be forced to take legal action. It is important to note that you just have to inform them and not to use threatening language or words.
• Mention the acceptable modes of payment to the reader.
• End the letter with a professional closing.
• Make sure to proofread your collection letter for any mistakes or missing details before finally sending it.
• Make sure to retain the copies of all the collection letters that you write. It is so because, in the case of legal proceedings, any such letter can be used as a piece of evidence.

First Collection Letter

[Name of Recipient] [Address of Recipient]

Date:

Subject: First Collection Letter

Dear Mr. / Mrs. [Name of the Recipient],

This is a friendly reminder to you that invoice no. [Mention Invoice Number] of [mention Amount] is due on your account. This invoice is currently overdue by [mention Number of Days]. The invoice was originally generated on [mention Date].

You are a valuable customer to us who always paid on time. We realize that it might be an oversight. So, it will be great if you make the payment as soon as possible. Feel free to contact us for any details or queries. Also, please find attached to this letter a copy of the original invoice.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Second Collection Letter

[Name of Recipient] [Address of Recipient]

Date:

Subject: Second Collection Letter

Dear Mr. / Mrs. [Name of the Recipient],

On [mention Date], we sent you a letter reminding you to clear your outstanding dues of [mention Amount]. Following are the details of these dues:

Invoice Number:

Invoice Date:

Invoice Amount:

Invoice Description:

The above-mentioned invoice is now [mention Number of Days] days past due. We realize that there might be some issues for which you would not be able to clear the outstanding dues. However, we request you to kindly take this matter into consideration and clear your outstanding dues within the next [mention Number of Days] days.

You can also make payments through a debit or credit card. If you send us an email, we will send you a payment link to make your payment. You can also transfer the amount online into our bank account. In that case, email us and we will send you our bank account details.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Third Collection Letter

[Name of Recipient] [Address of Recipient]

Date:

Subject: Third Collection Letter

Dear Mr. / Mrs. [Name of the Recipient],

On [mention Date], we sent you a letter for the second time reminding you to clear your outstanding dues of [mention Amount]. Unfortunately, there is still no response from you which forced us to send this third notification for the due payment. Following are the details of the due amount:

Invoice Number:

Invoice Date:

Invoice Amount:

Invoice Description:

The above-mentioned invoice is now [mention Number of Days] days past due. We realize that there might be some issues for which you would not be able to clear the outstanding dues. However, you should at least respond to our letters and calls.

I hope that you can understand our position and now take this matter into serious consideration. So, we request you to clear your outstanding dues within the next [mention Number of Days] days. If there is still no response from your side then we will have to consider exercising our legal rights.

You can also make payments through a debit or credit card. If you send us an email, we will send you a payment link to make your payment. You can also transfer the amount online into our bank account. In that case, email us and we will send you our bank account details. If there is a problem with paying the full amount, contact us so that we can make payment arrangements for you.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Final Collection Letter

[Name of Recipient] [Address of Recipient]

Date:

Subject: Final Collection Letter

Dear Mr. / Mrs. [Name of the Recipient],

This final letter is to inform you that your account with our company is now seriously delinquent. We are continuously trying to reach you via letters, emails, and calls but received no response from your side yet. The details of the outstanding amount are given below:

Invoice Number:

Invoice Date:

Invoice Amount:

Invoice Description:

The above-mentioned invoice is now [mention Number of Days] days past due. This is the final payment reminder to clear your outstanding dues in full. If we still don’t hear from you within the next [mention Number of Days] we will hand over your account to the [mention Name of the Collection Agency]. If we still don’t hear from you after that, we will then take steps for legal proceedings too.

I hope that will now take this matter into serious consideration and clear your outstanding dues at the earliest possible. You can also make payments through a debit or credit card. If you send us an email, we will send you a payment link to make your payment. You can also transfer the amount online into our bank account.

Thanks a lot!

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Debt Collection Letter Example

[Name of Recipient] [Designation of the Recipient] [Organization Name]

Date:

Subject: Debt Collection Reminder

Dear Mr. / Mrs. [Name of the Recipient],

As per our financial statements, your account with our company is past due. As of now, an amount of [mention Amount] is still pending to be paid and is already [mention Number of Days] days past due. Following are the details of the said amount:

Invoice Number:

Date:

Amount:

Description of Products/Services:

Please find attached to this letter a copy of your account statement. If you have already paid the said amount then please send us a rectification statement so that we update our records.

However, if the amount is actually pending to be paid, then please make sure to clear the outstanding dues as soon as possible. Feel free to contact us for any details or information.

Thanking you in anticipation.

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Sample Collection Letter to Customer

[Name of Recipient] [Address of the Recipient]

Date:

Subject: Invoice Collection Reminder to Customer

Dear Mr. / Mrs. [Name of the Recipient],

For the last few years, you have become one of our regular and valued customers as you often shop from us and appreciate the quality of our products. It is your quality that you have always paid your bills even before the due date.

However, a sum of [mention Amount] is somehow unpaid and is already [mention Number of Days] days past due. The details of the aforementioned sum are:

Invoice Number:

Date:

Amount:

Description of Products/Services:

This letter is just to remind you that the company has not received any payment regarding the mentioned invoice. So, it will be great if you make the payment for this invoice as soon as possible. However, if you have already paid for this invoice, make sure to let us know via a call or a letter.

Feel free to contact us for any information or query.

Thanking you in anticipation.

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]

Collection Letter for Unpaid Amount

[Name of Recipient] [Designation of the Recipient] [Organization Name]

Date:

Subject: Collection Reminder for Unpaid Amount

Dear Mr. / Mrs. [Name of the Recipient],

I am writing this letter on behalf of your creditor [mention Name of the Organization or Individual] to remind you to pay the unpaid amount of [mention Amount] to the creditor. The details of the unpaid amount are:

Invoice Number:

Date:

Amount:

Description of Products/Services:

The above-mentioned invoice was due on [mention Date] and is currently overdue by [mention Number of Days] days. The company has not received any amount in this respect and that’s why the invoice is considered unpaid.

So it is requested that you clear the unpaid amount owed to the company as early as possible. For any queries or details, feel free to reach us via the given contact details.

Thanking you in anticipation.

Yours Sincerely,

[Sender Name] [Sender Signature] [Sender Designation] [Sender Contact Details]