The Overdue Payment Letter is a critical business document used when payment for goods or services remains unpaid beyond the agreed-upon due date. Under Indonesian law, particularly guided by the Civil Code (KUHPerdata), this document serves as a formal demand for payment and can be an important piece of evidence in any subsequent legal proceedings. The letter should be issued after the payment deadline has passed and typically following informal reminders. It includes essential details such as the original invoice information, amount owed, duration of delay, applicable late payment interests, and clear payment instructions. The document must comply with Indonesian debt collection regulations while maintaining professional business standards and can be used across all business sectors for both B2B and B2C transactions.
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1. Letter Header: Company letterhead, date, reference number, and recipient's complete address
2. Subject Line: Clear indication that this is an overdue payment notice, including reference to specific invoice(s)
3. Opening Statement: Professional greeting and immediate identification of the purpose of the letter
4. Payment Details: Specific amount owed, original due date, and current overdue period
5. Payment History: Reference to original invoice(s) and any previous payment reminders
6. Required Action: Clear statement of expected payment action and deadline
7. Payment Instructions: Detailed information on how to make the payment, including bank details
8. Closing Statement: Professional closing with clear contact information for payment queries
1. Late Payment Interest: Include when applying interest charges to the overdue amount as per agreement terms
2. Previous Communications: Reference to prior attempts to collect payment when multiple reminders have been sent
3. Legal Consequences: Include for severely overdue accounts where legal action may be considered
4. Payment Plan Option: Offer of installment payments for long-term business relationships or large amounts
5. Impact on Business Relationship: Include for ongoing business relationships where future dealings may be affected
1. Statement of Account: Detailed breakdown of all relevant invoices, payments, and current balance
2. Copy of Original Invoice(s): Copies of all unpaid invoices referenced in the letter
3. Payment History Record: Documentation of all previous payments and payment attempts if relevant
4. Interest Calculation Sheet: Detailed calculation of any late payment interest charges being applied
Relevant legal definitions
Clauses
Relevant Industries
Retail
Manufacturing
Professional Services
Construction
Technology
Healthcare
Education
Financial Services
Real Estate
Wholesale Trade
Transportation and Logistics
Energy and Utilities
Telecommunications
Agriculture
Mining and Resources
Relevant Teams
Finance
Accounts Receivable
Legal
Treasury
Credit Control
Collections
Corporate Secretariat
Operations
Administration
Relevant Roles
Accounts Receivable Manager
Credit Controller
Financial Controller
Chief Financial Officer
Finance Manager
Collections Specialist
Legal Counsel
Business Owner
Accounts Manager
Credit Manager
Treasury Manager
Company Director
Corporate Secretary
Finance Director
Operations Manager
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