Business glossary
Collection letter
A written request asking a customer to pay an overdue balance.
Example
A reminder might state: invoice INV-104, issued September 1, due October 1, outstanding balance $450. Attach the invoice and ask the customer to confirm the payment date or identify any dispute.
How it differs from related terms
A collection letter follows up on an unpaid balance; it is not a new invoice. Verify payments and credits before sending it. A factual reminder can preserve the original due date without introducing unagreed fees or threatening unsupported action.
Frequently asked questions
What is an example of collection letter?
A reminder might state: invoice INV-104, issued September 1, due October 1, outstanding balance $450. Attach the invoice and ask the customer to confirm the payment date or identify any dispute.
How should collection letter be interpreted?
A collection letter follows up on an unpaid balance; it is not a new invoice. Verify payments and credits before sending it. A factual reminder can preserve the original due date without introducing unagreed fees or threatening unsupported action.