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What Is A Demand Payment
What is Demand Payment?
Many a times, disputes between lenders and borrowers could turn ugly tending to end up in courts. However such problems can be resolved by simply writing a strongly worded letter demanding payment. There might be no need to go to court and waste more money on legal fees.
Many banks use such letters as a last attempt before going to court. Sometimes it might be necessary to accept some form of compromise if you would like to get your money back at all. However this could actually prove to be an advantage.
Some borrowers tend to assume that you might not go after them, especially if you are not firm with them. They tend to be evasive and hope you will eventually leave them alone. The best way to demand payment under such circumstances is to write a demand letter. In the letter clearly indicate the how much of money the other person owes you, all the points of your agreements, compromises you are willing to make if any and that you will go to court and take legal action if your payment is not made. This will force the other person into taking you seriously as they are now faced with possibility of having legal action taken against them.
The letter to demand payment should contain all the details about your dispute. Although the other person already knows this, such a letter can be used in a claims court and it will prove to be advantageous to you. Also do not use any abusive language. This will not only cause the other person to respond in kind, but is also against the law in many places. Be sure to mention what your chances of winning the case actually are.
This will definitely force the other person to think rationally. Also the letter should indicate the deadline by which you expect a reply, and how you require the payment – that is the entire sum in one go or payment over a given time. Be sure to send the letter using certified mail so that you have proof of the letter being sent.
In Canada, the Canada post provides receipts to indicate that the letter has been sent. You can also send the letter to demand payment with the help of a bailiff who will serve the letter and will also provide proof of the letter being delivered along with the date and the person to whom it was delivered. This service will however cost you some money. Be sure to check up on the amount you need to pay before you use the services of one.
If someone has borrowed money from you and defaulted on the payment, it is well within your right to demand payment of the money. However keep in mind that there are also laws to protect rights of creditors and they cannot be harassed or bullied into repaying the money. So take legal advice before you take any action or you could land yourself in some trouble.
Many a times, disputes between lenders and borrowers could turn ugly tending to end up in courts. However such problems can be resolved by simply writing a strongly worded letter demanding payment. There might be no need to go to court and waste more money on legal fees.
Many banks use such letters as a last attempt before going to court. Sometimes it might be necessary to accept some form of compromise if you would like to get your money back at all. However this could actually prove to be an advantage.
Some borrowers tend to assume that you might not go after them, especially if you are not firm with them. They tend to be evasive and hope you will eventually leave them alone. The best way to demand payment under such circumstances is to write a demand letter. In the letter clearly indicate the how much of money the other person owes you, all the points of your agreements, compromises you are willing to make if any and that you will go to court and take legal action if your payment is not made. This will force the other person into taking you seriously as they are now faced with possibility of having legal action taken against them.
The letter to demand payment should contain all the details about your dispute. Although the other person already knows this, such a letter can be used in a claims court and it will prove to be advantageous to you. Also do not use any abusive language. This will not only cause the other person to respond in kind, but is also against the law in many places. Be sure to mention what your chances of winning the case actually are.
This will definitely force the other person to think rationally. Also the letter should indicate the deadline by which you expect a reply, and how you require the payment – that is the entire sum in one go or payment over a given time. Be sure to send the letter using certified mail so that you have proof of the letter being sent.
In Canada, the Canada post provides receipts to indicate that the letter has been sent. You can also send the letter to demand payment with the help of a bailiff who will serve the letter and will also provide proof of the letter being delivered along with the date and the person to whom it was delivered. This service will however cost you some money. Be sure to check up on the amount you need to pay before you use the services of one.
If someone has borrowed money from you and defaulted on the payment, it is well within your right to demand payment of the money. However keep in mind that there are also laws to protect rights of creditors and they cannot be harassed or bullied into repaying the money. So take legal advice before you take any action or you could land yourself in some trouble.
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