10 Amazing Tips to Write a Debt Recovery Letter before Action

debt collection

When we are concerned about the debt recovery, legal procedure is considered as the last option in the list. Under the strong consequences of unpaid debts, debtors are preferred to be reminded about their responsibilities and due payments with the help of security compliance.Letter before Action (LBA) is an important document of debt recovery services; it is used at the final stage of correspondence with the debtors.

Further, LBA will act as legal evidence, if the matter ends up in court. It will prove that you have attained all rational measures to keep away from legal actions. It may happen that LBA doesn’t remain effective for securing the payment from debtors. But it confers important attributes which give no prospect for debtors to defend themselves.

Looks complicated? Right!

Well, there is a solution. We have created a list of 10 Amazing Tips to Write a Debt Recovery Letter before Action, and here it is:

  • Make sure that you used a precise address and email address so that debtors cannot refuse the LBA. While using email consciously receive a delivery and observe receipt in order to confirm the correspondence.
  • Use clear vocabulary and correct data to make sure that your focus is on debt recovery.
  • Add reference code and reference of your admin system that correspondences you with the debtor and their admin’ system, if they have any.
  • Describe the exact outstanding amount in the LBA.
  • Specify the payment deadline and outcomes of not paying the debt.
  • Inform the customers about the guidelines to contact you for disputed amount of debt.
  • Also include the information about debt recovery fees, compensation, and interest.
  • Give a clue about the issued CCJ and its effect on their credit rating.
  • Provide sufficient information about free credit report of their company.
  • Describe the payment method in detail.

  • With the help of these 10 tips, you can create a perfect Letter before Action for debt recovering. On the other hand, your solicitor can also send an LBA on your behalf. At Debt Nirvana we provide full accomplished LBA template for providing prompt debt recovery services to our clients.

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