Recently Parris Trimble, Esq. of Greenbaum Law Group gave a two part video series on how to write your own demand letter, covering topics from reminding your debtor of the consequences of not paying, to keeping bad content out of your letter, and not insulting your debtor.
Read full transcript below:
Hi, my name is Parris Trimble and I’m an attorney here at Greenbaum Law Group. Greenbaum Law Group is a commercial collection and judgment enforcement firm. Today is my second video wherein I share with you some tips on how to write your own demand letter.
The first tip for today is to remind the debtor of the consequences, and by this I want you to go back and look at your contract or your credit application and look for an attorney’s fees clause or an attorney’s fees provision. These documents often contain an attorney’s fees provision wherein the prevailing party has to pay for the other side’s attorneys fees. If you have an attorney’s fees provision in your contract or your credit application, remind your debtor of this in the demand letter, they may be more likely to pay.
Also, some content simply does not belong in a demand letter. Content such as whining or reminding the debtor how many times you called or emailed and they didn’t respond often doesn’t get you anywhere. The debtors tend to get angry and use it as a reason not to pay, so try to avoid that. And similarly, do not insult the debtor. That doesn’t get you any closer to payment. And don’t call for a compromise. As soon as you suggest that you’ll take less than the full amount owed, it becomes a negotiation. Let the debtor come to you first with a compromise but you don’t offer it first.
Finally, if your demand letter doesn’t work don’t wait. Bad debt is not like fine wine it does not get better with age. If your debt is in California and is a commercial debt over $10,000 and you want recovery, give us a call at 1-800-519-0562 or check us out at our website at https://www.collectionlaw.com.