A collection notice is a document that states a notification of collecting something from a person who owes another person. In business, a collection notice is usually given as a notification that there are pending amounts to be paid by specific business entities.
It has also been defined that a good collection notice directly hit its purpose without bruising the goodwill of the customer. Also, a collection notice is usually given after another until such an individual or business entity can provide the payment. A two weeks notice can be one of those successive letters given to notify collection of payment.
What You Should Know about Collection Notice
If you own a business or are only starting, it is important that you know the possible circumstances you may encounter at the journey of your business. In some aspect you will have to borrow money from other business individuals or from a lending enterprise to fund your business. Be aware that there are specific business documents that accompany every business activity you will transact, such as a collection notice, 30-day notice that notifies you 30 days prior to the execution of an activity served purpose by the notice (other job-related notice include notice period letter).
A collection notice is often called debt collection notice in business. This is usually given to those individuals who have pending payments due to the debts owed to a creditor or to other business entities.
The method of collection has been existent for quite a while, it even started in ancient times civilizations. These days, the activity of collection has already been modernized and has even improved.
Collecting agencies and debtors have been very existent too, and they are the entities who mostly send out collection notices. There is this so-called first party agency that gets involved earlier in the process of debt collection and a third-party agency that is basically a collecting agency that is not involved in the debt contract.
Notice Template in Word
Free Collection Notice
Student Data Notice
Collection Notice in PDF
Tips in Writing a First Collection Notice
If you are planning to write a collection notice, it is a must to study and follow all the reasonable practices and procedures in writing, or adhere to our notice templates format before writing.
Remember that sending out collection letters is one of the wisest strategies to keep in touch with the customer who owes a debt, goods, or services in collecting agencies.
The first collection notice shall have the following contents:
- days that have past due
- the amount due
- a note about the previous attempts to collect
- overall summary of the account
- a clause stating the due date for the payment and the date must be specific as to the month, day, and year
- lastly, your contact information; they might contact you after receiving the notice
In the summary of the account, the following should be visible in the notice:
- invoice date
- invoice number
- date of due
- number of days past due
Remember, do not forget to tell the customer that you would highly appreciate if they will respond immediately to the notice in regards to the payment or any further clarification would still be highly given attention to.