Don’t Ignore Debt Collection or Legal Letters

Demands from Debt Collectors & Lawyers may lead to disaster. Don’t ignore them!

FREE Expert Advice 24/71300 767 525
Insolvency Solutions

As Featured In

Lowest Cost Company Liquidation

corporate insolvency

Corporate Insolvency

Is complicated. We will explain all options including Company Liquidation and Voluntary Administration.

personal insolvency

Personal Insolvency

Understand all your Options including Informal Arrangements, Formal Agreements and Bankruptcy.

demands and notices

Demands and Notices

Certain notices can’t be ignored as they may result in a Director being personally liable for Company Debts.

vital information

Vital Information

Know your Duties as a Director and how to avoid Insolvent Trading and Illegal Phoenix Transactions.

Debt Collection Letters

A Debt Collection letter may be the start of a formal process to recover debts from you. Ignoring them won’t make them go away.

If legal action is threatened, it may result in:

A Statement of Claim

A Statutory Demand

A Notice of Winding Up

Debt Collection. Understanding Letters of Demand

Letters of demand are sent when a creditor has tried unsuccessfully to get an outstanding account paid. A Debt collection letter may be the first step towards more serious action such winding up proceedings.

A letter of Demand may be sent by a debt collector or a lawyer and should be acted upon.

Do You Need Help or Want to Talk?

Call 1300 767 525 to speak with us, or fill in your details below and one of our expert advisors will get back to you within 30 minutes!

FREE Expert Advice 24/71300 767 525

Debt collection efforts usually follow a series of steps. A first and then second reminder letter that may be written in such a way as to maintain a business relationship.

A demand letter, which should be entitled “Letter of Demand” should state exactly the amount outstanding, the invoice details, the fact that the amount is overdue and that it needs to be paid within a certain time frame.

The letter may also suggest or warn that unless the debt is paid by a particular date, legal recovery action may be commenced.

Sending a letter of demand can be a significant step as it may damage a business relationship and may inflame a dispute. This needs to be considered when taking steps to recover a debt.

Debt Collection and Lawyers letters

Often a lawyer’s letter will attract the attention of a debtor more than a simple letter of demand from you .

While there is a cost to engaging a lawyer, it will indicate to the debtor that you are serious about recovering the debt and are now prepared to spend money on this issue.

As noted in the points above, if a Debt Collection letter is ignored, it can lead to more serious consequences.

Debt Collection Letters Checklist

  • Have you attempted to recover the debt with a simple phone call or pleasant reminder letter?
  • Is the information in the letter accurate?
  • If you claim late payment interest, is there a legal basis for doing so?
  • Have you indicated a date by when you expect the amount will be paid?
  • Have you foreshadowed the recovery action that will follow for non-payment?
  • Is the language of the letter business like and not personal or threatening?
  • Have you signed and dated the letter?
  • Have you attached copies of all supporting documentation and evidence that you will rely upon in making and pursuing the claim?
  • Have you kept a copy of the letter and all supporting documentation?

Note: Consider sending the letter by registered post and requesting a ‘signed proof of delivery’ card.

Free Consultation


Call 1300 767 525 anytime or fill in your details below and one of our expert advisers will get back to you within 30 minutes!

Lowest Cost Company Liquidation

Speak Directly to a ASIC Licenced Expert, 24/7 not a call centre salesperson!

Our Approach To Helping Your Financial Problems

The Insolvency Experts are ASIC licenced insolvency specialists who will help you FREE of charge and without obligation, 24 hours a day.

All you need to do is call to obtain answers, options and solutions to the most difficult financial situations.

The Insolvency Experts will tell you exactly what you need to know – not what you may want to hear. By doing this, we empower you, through the provision of correct information, to make the best and most informed decisions about your finances in difficult circumstances.

The Insolvency Experts who you will speak with are licenced professionals with over 30 years specialist insolvency experience. We have helped thousands of people just like you in the most dire financial situations.

We have a proven track record of honesty and trustworthiness and seek to maintain the highest ethical and moral standards while providing you with sound, professional advice.

Call – an ASIC licenced expert will assess your financial situation and provide expert tailored advice.

Answers – will be given to every question. There is no time limit on these consultations.

Options – will be canvassed and explained so you can make an informed decision that is best for you and your family.

Solutions – including both informal and formal solutions. These may include Company liquidation or Administration.

Our Key Credentials

24 hour service

Dedicated 24/7 service by Qualified Expert – not a call centre

 


ASIC Licensed &
Regulated Professionals

 

Australia Wide Licence

Licenced in every state
of Australia

 

Google Rating

Rated 5 out of 5 on
Google Reviews

 

THE INSOLVENCY EXPERTS – EVERYTHING YOU NEED TO KNOW – FREE OF CHARGE AND WITHOUT OBLIGATION