A Money Claim Letter is a crucial document in Singapore's debt recovery process, serving as a formal demand for payment before pursuing legal action. This document is typically used when informal attempts to collect payment have failed, but before initiating court proceedings. The letter must comply with Singapore's legal requirements, including proper documentation of the debt, clear payment terms, and appropriate notice periods. It should detail the amount owed, how it arose, and provide a reasonable timeframe for payment. The document plays a vital role in demonstrating the creditor's reasonable attempts to recover the debt before seeking legal remedies.
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1. Sender's Details: Full name, address, and contact information of the claiming party
2. Recipient's Details: Full name, address of the debtor
3. Debt Details: Specific amount owed, date incurred, and nature of debt
4. Payment History: Record of any previous payments or payment attempts
5. Demand Statement: Clear statement of demand for payment
6. Payment Terms: Deadline for payment and acceptable payment methods
7. Legal Consequences: Statement of intended legal action if payment is not received
1. Interest Calculation: Details of interest charged, use when applicable under contract or law
2. Payment Plan Option: Proposed installment plan, use when willing to accept structured payments
3. Previous Correspondence: Reference to prior communications, use when multiple attempts have been made
1. Invoice copies: Copies of original invoices or bills
2. Contract: Copy of relevant contract or agreement
3. Payment Records: Documentation of any partial payments made
4. Communication Records: Copies of relevant previous correspondence
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