Payment Letter


A payment letter means a letter which is written to the receiver because he has to pay a certain amount to the sender. The letter is a reminder to the receiver of his outstanding amount that he has to credit to the sender. A payment letter can be written by a company to another company related to business purposes in the past, or it can be sent to a client to remind him of his due payment. In any case, this letter is sent by someone who is supposed to receive the amount.

This letter has to be written in a polite tone, but it should also be firm enough for the receiver to take it as a warning for the actions that will be taken against him if he does not credit the due in time. This is an official letter so format should be correct.

Sample Letter:

The sample for payment letter is given below:


Patrick J. Davidson

Harvey Davidson Pvt. Ltd.

292 McVaney Road
Asheville, NC 28801



Ryan & Mandy Mulligan

1086 Hedge Street
Millington, NJ 07946

Dear Ryan & Mandy,

Sub: Payment letter

I am writing this letter to remind you that your firm owes us $10000 which you had promised to pay by the end of last month. I understand there must have been some problem due to which you could not pay that amount last month. I am therefore granting you a week’s time so that you can make arrangements to pay us the due by the end of the coming week. You have been a very cooperating business partner. I will be forced to put this in this hands of law if you do not make any attempts to repay the dues.

I hope you will consider the request and take action on this as soon as possible so that we do not have nay professional problems between us and continue with the business as usual. I do not wish for matters of money to spoil the relationship we have built through so many years. If there is anything that you would to clear, kindly email on

Thanking you,

Patrick James Davidson.

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