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A demand letter for payment is a notification to a debtor that requests payment of an owed amount by a specific date. Typically used by collectors as a final warning before potential legal action, the letter serves several important functions: it alerts the debtor to the risk of legal consequences, documents the reason for the demand, states the exact amount owed, and expresses the request in writing for future reference, especially in court disputes. Additionally, it may include options for a reduced settlement as an incentive for payment. The video tutorial will explore the key aspects of payment demand letters and provides access to a free official template.
