A past due invoice is a document or letter used to inform a debtor (person who owes money) that a payment was missed. A past due invoice should include the total amount due, any fees (late fee), and the time frame to cure before additional penalties/actions occur.
What is a Past Due Invoice?
A past due invoice is a letter used by banks, financial institutions, landlords, and businesses to warn a person that is late on a payment, which in many cases is a serious issue especially for credit card holders. For serious issues, a past due invoice can be served as a warning prior to action while still giving that person the ability to pay without penalty. Past due invoices should be altered more seriously each time the letter has to be sent for the same offense.
Past Due Payment Letter ( How to Word)
All kinds of businesses use past due payment letters to inform their clients, customers, or borrowers when a payment has gone into default. A past due invoice should be simple and direct and it should have a description next to each amount/charge. Sometimes people forget to pay and a past due payment letter is helpful curing an innocent mistake. For those trying to skip out on a payment, a past due letter must contain language that forces the debtor to face the problem by threatening a fee or late charge. Check with your state laws to see what the maximum you may charge a person who is past due.
When sending a past due payment letter, always attach the invoice or a means to allow the debtor to make payment. Attaching an invoice will give a clear view of all charges and fees owed.
You are currently three (3) days past due on $500.00 dollars to (Company Name) for the installation of a french door that was installed on September 01, 2019. Please call us at (phone number) to arrange payment for this account. Please be advised that you will have seven (7) days from now (future date) to cure this debt. If not paid in that time, a late fee in the amount of $25 dollars will be charged each day.
Company Phone Number