Late Payment Reminder Letter
Our Letter Template:
- Use as a first reminder letter
- UK-lawyer-drafted for reliability
- Simple to complete
- Avoid bad debts early
How Does It Work?
- 1. Download
- 2. Edit
- 3. Print
- 4. Sign
This Late Payment Reminder Letter template is for chasing late payment of a commercial debt in the UK. Use it when an invoice to a customer is overdue.
It is good credit control practice to send a reminder letter as soon as the debt becomes overdue (or, say, 28 days after the date of the invoice, if no payment dates were set out).
The letter reminds your customer that the invoice is overdue and the debt payable. It also invites the customer to raise and explain any issues that they may have so that they can be addressed if needed.
Good Late Payment Practice
In most instances this initial chasing letter will secure payment of the overdue amount.
If payment has not been made within at least 14 days of becoming overdue (or 28 days after sending if no payment dates were set out) you should promptly send a second reminder letter.
If a customer is struggling with their debts those suppliers that actively chase the debt generally get paid first.
At any point after the debt becomes a month over due you can then send a final demand letter before action. It is actually quite rare that companies have to sue as a creditor to recover commercial debts when good credit control practices are put in place.
What To Include With Your Late Payment Reminder Letter
When you send the letter, make sure that you include a copy of the relevant invoice(s) and if possible also a copy of the signed order form or any other means that you used to confirm the order.
Including this information will ensure that the customer has everything that they need to see that the debt is indeed due and payable.
At this stage of the process, the reminder letter does not refer to the right to charge interest. Doing so runs the risk of upsetting the ongoing commercial relationship with your customer if the late payment is simply an oversight.
Send this initial letter and, if you have not been paid within 14 days, then escalate the process promptly. The other letter templates that you would then need to pursue the debt can be found in our debt recovery letter templates section, which lists all of the debt collection templates that we have.