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A demand letter for payment is a formal notice requesting a debtor to pay a specified amount by a certain date, serving as a final warning before legal action is taken. This video tutorial discusses the significance of sending such a letter, which alerts the debtor to possible legal consequences, documents the reason for the payment demand, specifies the total amount owed, and expresses the payment request in writing for potential legal disputes. Additionally, it may serve as a basis for negotiating a reduced settlement offer. The tutorial also provides information on obtaining a free and official demand letter template.
