Accounts Correspondence Letters: Letter of Accounts Correspondence Format, Samples, Templates and Examples

Whenever you visit the bank for asking the information about credit cards and accounts the bank gives you the verbal information plus it also sends you some written information about different kinds of schemes. Additionally, it also happens sometimes that banks send you bills or invoices when you purchase some online stuff.

Any kind of written financial statements or information about the accounts and financial transactions is known as Accounts Correspondence.

In this article, we have discussed all its detail.

In business, we mostly deal with financial transactions happening on a routine basis. Additionally, the firm or banks usually write many letters to people about the loan’s repayment. Everything written in this regard comes under account correspondence. 

Accounts Correspondence Letter

Correspondence is basically a communication in written form. And accounts correspondence is all about the payments, accounts, transactions, etc. It also includes delivery challans, invoices, accounts statements, notes of credit/debit and collection letters. 

Collection Letter

A letter of collection is written for the purpose of collecting the payment from the consumer. Or you can say that it’s the official message written by the borrower. Letter of collection mostly includes inquiries, reminders, notifications, warnings, etc. However, it has to make sure that the letter is written in a very formal and polite tone. You do not have to use slangs, offensive or abusive words. 

Collection Letter Characteristics 

A good collection letter must have the following characteristics

• The objective or reason for the collection letter must be stated very clearly.
• It must have previous letter references. 
• There should be a company or creditor name on it that is issuing the loans. 
• A lender name should be mentioned.
• The full amount of debt has to be written.
• Additional terms or costs need to mention.
• Write the last payment deadline. 
• Inquire about payment delay.
• Lastly, if you want to add some reminders then it is advised that the legal action list must be written in the letter. 

Collection Letter Types 

The collection letters are classified into 3 types as follows:

1. Inquiry letters
2. General Reminders
3. Official letters

Collection Letter Reminder

This kind of collection letter is written for the purpose of reminding the customer that he has forgotten to pay the payments. Additionally, in this letter, some general assumptions are made such as medical or money problems. Anyhow, always try to use a friendly tone while writing such a letter. 

Inquiry Letter

As can be inferred from the name, it is written for inquiry purposes. The sender wants to know what are the valid reasons that have delayed the payments. Additionally, in a letter of this type, the sender asks the customer if he needs any help or not. For the helping purpose, you can give an option of partial payment, as it will also help in making a good association with the customer. 

Appeal Letter

This kind of letter is written when a borrower isn’t replying to any reminder sent previously. In this appeal letter, the sender uses a very aggressive approach but doesn’t have to be rude. 

Ultimatum Letter

In this letter, the writer has to mention the ultimatum so that the borrower can make payment quickly. The letter has to be very formal and must have very fair and logical statements. Additionally, the Ultimatum letter must also contain the information about legal punishments in case of failure of payment.