Letter of collection: Difference between revisions
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'''The term of a letter of collection''' determines all written [[information]] of the awaiting weights, meant to prod past-due buyers to do a payment. Letters of collection usually are sent one by another. The character and the language are getting more immediate with every send letter until some payment is delivered. Effectual letter of collection attain its a goal without wrecking the buyers' goodwill <ref>(P.F.Uhlir 2010) </ref>. | '''The term of a letter of collection''' determines all written [[information]] of the awaiting weights, meant to prod past-due buyers to do a payment. Letters of collection usually are sent one by another. The character and the language are getting more immediate with every send letter until some payment is delivered. Effectual letter of collection attain its a goal without wrecking the buyers' goodwill <ref>(P.F.Uhlir 2010) </ref>. | ||
== Collection letters or the letters of the collection == | ==Collection letters or the letters of the collection== | ||
''' '''are written to buyers who get their purchase on a credit and do not pay for the bill on time. The main reasons for writing a collection letter are to''' <ref>(C.R.McManis 2012)</ref> : | ''' '''are written to buyers who get their purchase on a credit and do not pay for the bill on time. The main reasons for writing a collection letter are to''' <ref>(C.R.McManis 2012)</ref> : | ||
* retrieve the money | * retrieve the money | ||
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Occasionally just one collection letter causes paying the debt by the debtor, but every now and then the lender must persuade the debtor to do the fee by written series of letters. The are several reasons of which debtor may delay the payment. For example, when he forgets about the payment when he is too busy when he is not satisfied with the purchase or services are given to him or when he unexpectedly has met with some unlucky and bad accidents which enable him to do the payment <ref>(D.J.Whaley, S.M.McJohn 2019)</ref>. | Occasionally just one collection letter causes paying the debt by the debtor, but every now and then the lender must persuade the debtor to do the fee by written series of letters. The are several reasons of which debtor may delay the payment. For example, when he forgets about the payment when he is too busy when he is not satisfied with the purchase or services are given to him or when he unexpectedly has met with some unlucky and bad accidents which enable him to do the payment <ref>(D.J.Whaley, S.M.McJohn 2019)</ref>. | ||
== Reminder stages about the Letter of Collection == | ==Reminder stages about the Letter of Collection== | ||
In general, there are '''3 separate steps''' in writing the [[letter of collection]]. The factor of time is very important in that case. The efforts for writing the letter grow when it is high time to pay the bill. Most creditors send out a polite and mild reminder at the time when the payment has not been delivered within a couple of days later than a due date. Here are mentioned some stages of handing in the letter of collection<ref>(M.Agarval 2010) </ref>: | In general, there are '''3 separate steps''' in writing the [[letter of collection]]. The factor of time is very important in that case. The efforts for writing the letter grow when it is high time to pay the bill. Most creditors send out a polite and mild reminder at the time when the payment has not been delivered within a couple of days later than a due date. Here are mentioned some stages of handing in the letter of collection<ref>(M.Agarval 2010) </ref>: | ||
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* '''Third Letter-''' The debtor is asked to do the payment when the first and second reminder goes neglected or ignored. The warning of legal [[action]] is executed when the borrower still expresses his nonchalance. He is called to obey instantly or he will be persecuted. This stag is also called Ultimatum Stage. At the last stage, the lender still sustains a polite and business-like manner. The creditor does not want to harass or defame the buyer for delaying the payment. | * '''Third Letter-''' The debtor is asked to do the payment when the first and second reminder goes neglected or ignored. The warning of legal [[action]] is executed when the borrower still expresses his nonchalance. He is called to obey instantly or he will be persecuted. This stag is also called Ultimatum Stage. At the last stage, the lender still sustains a polite and business-like manner. The creditor does not want to harass or defame the buyer for delaying the payment. | ||
== Footnotes == | ==Footnotes== | ||
<references/> | <references/> | ||
== References == | {{infobox5|list1={{i5link|a=[[Dishonored check]]}} — {{i5link|a=[[Credit Application]]}} — {{i5link|a=[[Dishonoured cheque]]}} — {{i5link|a=[[Balance an account]]}} — {{i5link|a=[[Collecting bank]]}} — {{i5link|a=[[Debit Note]]}} — {{i5link|a=[[Demand loan]]}} — {{i5link|a=[[Friendly loan]]}} — {{i5link|a=[[Cash voucher]]}} }} | ||
==References== | |||
* Agarval M (2010).,''[https://books.google.pl/books?id=PW6KANm1amIC&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Business Communication]'', Krishna Prakashan Media | * Agarval M (2010).,''[https://books.google.pl/books?id=PW6KANm1amIC&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Business Communication]'', Krishna Prakashan Media | ||
* McManis C.R (2012)., ''[https://books.google.pl/books?id=Nqofy1JSHM4C&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Biodiversity and the Law: Intellectual Property, Biotechnology and Traditional Knowledge]'', Earthscan | * McManis C.R (2012)., ''[https://books.google.pl/books?id=Nqofy1JSHM4C&printsec=frontcover&hl=pl&source=gbs_ge_summary_r&cad=0#v=onepage&q&f=false Biodiversity and the Law: Intellectual Property, Biotechnology and Traditional Knowledge]'', Earthscan | ||
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{{a|Julia Lech}} | {{a|Julia Lech}} | ||
[[Category: Law]] | [[Category: Law]] | ||
Latest revision as of 00:48, 18 November 2023
The term of a letter of collection determines all written information of the awaiting weights, meant to prod past-due buyers to do a payment. Letters of collection usually are sent one by another. The character and the language are getting more immediate with every send letter until some payment is delivered. Effectual letter of collection attain its a goal without wrecking the buyers' goodwill [1].
Collection letters or the letters of the collection
are written to buyers who get their purchase on a credit and do not pay for the bill on time. The main reasons for writing a collection letter are to [2] :
Occasionally just one collection letter causes paying the debt by the debtor, but every now and then the lender must persuade the debtor to do the fee by written series of letters. The are several reasons of which debtor may delay the payment. For example, when he forgets about the payment when he is too busy when he is not satisfied with the purchase or services are given to him or when he unexpectedly has met with some unlucky and bad accidents which enable him to do the payment [3].
Reminder stages about the Letter of Collection
In general, there are 3 separate steps in writing the letter of collection. The factor of time is very important in that case. The efforts for writing the letter grow when it is high time to pay the bill. Most creditors send out a polite and mild reminder at the time when the payment has not been delivered within a couple of days later than a due date. Here are mentioned some stages of handing in the letter of collection[4]:
- First letter/Gentle reminder- the first reminder is delivered in a week of the bill. The reason for the first reminder is to note the customer for a fee of the quantity credited. The character of the letter should be gentle, not blaming the debtor for the lack of payment of a debt. The letter should try to convince the customer to do the payment as soon as possible. This stage is also called as the Inquiry Stage.
- Second letter- The debtor should be informed and reminded of the due date for repaying the debt credit. The lender displays his desire to sustain friendly relations with the debtor and signify his expectation that the borrower will co-operate. This stage is also called the Appeal Stage. The creditor should immediately express his request to obtain the overdue payment. He also shall express his willingness to be taken seriously, but he should not be treating the borrower.
- Third Letter- The debtor is asked to do the payment when the first and second reminder goes neglected or ignored. The warning of legal action is executed when the borrower still expresses his nonchalance. He is called to obey instantly or he will be persecuted. This stag is also called Ultimatum Stage. At the last stage, the lender still sustains a polite and business-like manner. The creditor does not want to harass or defame the buyer for delaying the payment.
Footnotes
| Letter of collection — recommended articles |
| Dishonored check — Credit Application — Dishonoured cheque — Balance an account — Collecting bank — Debit Note — Demand loan — Friendly loan — Cash voucher |
References
- Agarval M (2010).,Business Communication, Krishna Prakashan Media
- McManis C.R (2012)., Biodiversity and the Law: Intellectual Property, Biotechnology and Traditional Knowledge, Earthscan
- Uhlir P.F (2010)., Designing the Microbial Reasearch Commons, National Academies Press
- Whaley D.J, McJohn S.M (2019).,Problems and Materials on the Sale and Lease of Goods, Wolters Kluwer Law & Business
Author: Julia Lech
