Late repayment is a big problem that can disturb your liquidity. Entrepreneurs are mainly dealing with dishonest contractors, however, such situations can also affect private individuals. Before the debt recovery case goes to court, you can take advantage of the option of soft debt recovery and send a request for payment to the debtor. How to do it
The creditor has the right to urge the debtor to settle the debt
Without the participation of a court or debt collection company. First, you can ask for a refund by sending an email, sms or phone contact. Thanks to this, there is a chance to find out what influenced the delay and eventually negotiate repayment terms.
If such actions did not bring the expected result, the next step is to send a request for payment. This is a letter in which the creditor informs the debtor about the need to pay the debts and about the consequences of default.
How do you write a payment request?
The letter should be concise and firm to have a certain effect on the debtor. The legal basis is art. 455 of the Civil Code, which says that “If the date of performance is not marked or does not result from the nature of the obligation, the benefit should be met immediately after the debtor’s request to perform.” This means that even if the repayment date is not set, the debtor is obliged to pay the amount due upon receipt of the request. An effective letter should have a formal form and contain:
- data of both parties and the date and place of preparation,
- justification for the repayment obligation, e.g. invoice or loan agreement number,
- debt with interest,
- repayment date,
- creditor account number,
Types of payment requests
You can send a request for payment several times until it has the desired effect. For this reason, several types of such reminders are distinguished:
- repayment reminder,
- request for payment under pain of entry into the debtor’s database,
- request for payment under pain of notifying the prosecutor’s office,
- final demand for payment,
- pre-execution request for payment.
All reminders should be sent in writing, preferably with acknowledgment of receipt. If you go to court, this will be proof that you are seeking recovery.
Call for payment – when is it invalid?
Sending an urgent letter is an effective and cheap way to recover a debt. The request may, however, be invalid if the formal requirements are not met or the letter is unsuccessfully delivered. In addition, it loses its validity if the debtor has settled the amount due before receiving a letter of reminder.