Free Late Payment Collection Letter

A letter that is sent to a party that is delinquent with their payment.

Create a Document in 3 Easy Steps
Get Started

Build your selected document.

Answer Questions

Answer a few simple questions with step-by-step instructions.

Download Document

Print & download forms instantly. Sign & make it legal.

Suppose you are a business owner and a customer has neglected to make a required payment. On one hand, you’re annoyed that the customer didn’t fulfill their obligation. On the other hand, you don’t want to scare them away from future business transactions with your company. What you need to do is send that customer a Late Payment Collection Letter.


The Late Payment Collection Letter is a simple, but powerful legal document that is sent to warn the recipient that if they continue to not make the required payments, then you are within your rights to pursue legal action. The severity of the letter’s language changes depending on how many times you’ve reminded them to pay.

Frequently Asked Questions

A late payment collection letter is a document sent from one party to another in order to remind them to make a required payment.

Unfortunately, late payments are a frequent problem for small businesses. By sending late payment collection letters, you may be able to coerce the debtor to fulfill their obligation without needing to get a collection agency involved. You may be required by state or local laws to send collection letters before pursuing legal action.

The 360LegalForms questionnaire generates three versions of the late payment collection letter:


  • The first notice is the friendliest, giving the debtor the benefit of the doubt. The first late payment letter should be sent the day immediately after the payment was due.

  • The second notice is significantly sterner. It includes a warning that a collection agency may become involved due to the nonpayment. A second notice is typically sent 60 days after the payment became due.

  • The third and final notice becomes even more callous to demonstrate to the debtor that you are fed up with their inability to commit to a financial obligation. This is typically sent 90 days after the payment became due.

To create your letter, provide:

  • The Date: Select the date the letter will be sent to the recipient.

  • Method of Delivery: Indicate how the letter will be delivered to the recipient.

  • Version of the Letter: Pick between the first, second, or third notice.

  • Sender Details: Give the name and contact information of the letter’s sender.

  • Recipient Details: Give the name and address of the delinquent party.

  • Invoice/Agreement Information: Indicate whether the delinquent payment was incurred pursuant to an agreement or an invoice.

  • Amount Owed: Enter the total amount the delinquent party owes.

  • Number of Days Late: Specify how many days late the debt is past due.

  • Method of Payment: Inform the recipient about acceptable method(s) of delivery for the delinquent payment.

  • A Deadline – Give the recipient a date by which they must either contact the sender or make a payment.

With 360LegalForms, it will take you only a few minutes to create your customized Late Payment Collection Letter. You’ll be guided through each part of the document, and once complete, your letter will be available for immediate download as either pdf or word document from your secure online account. 

No, a late payment collection letter does not need to be notarized; you only need to sign and mail the document to make it legally valid.

Why choose 360 Legal Forms?

Our exhaustive library of documents covers your personal, business, and real estate needs with all of your DIY legal forms.

Easy legal documents at your fingertips
Easy legal documents at your fingertips

Create professional documents for thousands of purposes.

Easily customized
Easily customized

Make unlimited documents and revisions. Sign online in seconds.

Applicable to all 50 states
Applicable to all 50 states

Our documents are vetted by lawyers and are applicable to all 50 states.