Safe Collection has just released more formal and precise templates for late payments. IT contractors and other contractors and agencies can use these templates free of charge to demand late-paying clients to settle their dues or pending invoices.
These late payment templates are designed in such a manner that clients will not be able to get out of their obligations. A number of points have been made clearer, and the language and structure have become more to-the-point and relevant.
Each payment reminder now contains a clause that highlights that the late-paying client would now have to pay interest under the 2013 late payment regulations. No longer will the interest be levied according to the 2002/1998 late payment laws.
Safe Collection Manager Adam Home stated that the wording in payment reminder templates B and C have been altered to show that a majority of IT contractors and others will have a formal contract in place when working with clients.
Home said that some clients resort to all kinds of excuses to avoid making payments. Hence, the Final Demand template has a clause warning such clients about the extra costs that they may incur if the IT contractor is forced to use the services of a collection agency. This means that besides paying the contractor their dues, the client will also have to foot the extra cost of using a debt collection agency that the contractor was forced to hire due to non-payment.
The Final Demand letter is Letter C in the series of new templates that Safe Collection has made available. These letter templates can be downloaded, and IT contractors can just cut-and-paste the content from the templates into their emails.
Home pointed out that the late payment charges mentioned in the templates are meant solely for commercial transactions between businesses and not for transactions between businesses and consumers.