The 1st Reminder Letter For Payment is a crucial document in the Philippine business environment, typically issued when a payment becomes overdue by 7-14 days. This document serves as the initial formal communication in the collection process, reflecting local business practices and compliance with Philippine commercial law, particularly the Civil Code of the Philippines regarding obligations and contracts. The letter should be sent after informal reminders (such as emails or calls) have not resulted in payment, but before escalating to more severe collection measures. It includes specific details about the outstanding amount, reference numbers, original payment terms, and current status, while maintaining a tone that is professional yet firm. The document is designed to prompt payment while preserving business relationships, which is particularly important in the relationship-oriented Philippine business culture.
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1. Recipient Details: Full name, address, and contact information of the debtor
2. Reference Information: Invoice numbers, dates, and any relevant contract or purchase order numbers
3. Subject Line: Clear indication that this is a payment reminder
4. Outstanding Amount: Clear statement of the amount due, including currency and any applicable taxes
5. Payment Due Date: Original due date and current status
6. Payment Instructions: Bank details or other payment methods available
7. Closing: Professional closing with contact information for queries
1. Payment History: Include when there have been partial payments or payment plans discussed
2. Interest Notice: Include if late payment interest applies as per the original agreement
3. Statement of Account: Include for complex accounts with multiple transactions or partial payments
4. Future Consequences: Include if company policy requires mentioning next steps in case of non-payment
5. Good Faith Statement: Include when dealing with long-term clients to maintain relationship
1. Copy of Original Invoice: Attachment of the unpaid invoice(s)
2. Statement of Account: Detailed breakdown of all transactions and payments if applicable
3. Payment History Record: If relevant, a record of any partial payments made
Relevant legal definitions
Clauses
Relevant Industries
Retail
Manufacturing
Construction
Professional Services
Information Technology
Healthcare
Education
Financial Services
Real Estate
Wholesale Trade
Transportation and Logistics
Consulting Services
Telecommunications
Energy and Utilities
Relevant Teams
Finance
Accounts Receivable
Credit Control
Collections
Treasury
Administration
Accounting
Revenue
Business Operations
Customer Relations
Relevant Roles
Accounts Receivable Specialist
Credit Controller
Finance Manager
Billing Coordinator
Collections Officer
Financial Controller
Credit Manager
Accounts Manager
Finance Director
Business Owner
Administrative Officer
Bookkeeper
Treasury Manager
Financial Analyst
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