The Debt Recovery Letter of Demand is a crucial legal document in Singapore's debt recovery process. It represents a formal attempt to recover outstanding payments before initiating court proceedings. This document typically follows unsuccessful informal collection attempts and precedes legal action. It must comply with Singapore's legal framework, including the Limitation Act and Protection from Harassment Act. The letter should detail the debt's origin, amount, payment history, and provide a reasonable timeframe for payment. It's an essential step in demonstrating reasonable attempts at debt recovery before pursuing litigation.
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1. Recipient Details: Full name and address of the debtor
2. Debt Details: Amount owed, date incurred, reference numbers
3. Payment History: Summary of previous payment attempts or correspondence
4. Demand Statement: Clear statement of amount demanded and payment deadline
5. Legal Consequences: Statement of potential legal action if payment not received
6. Payment Instructions: How and where to make the payment
1. Interest Calculation: Include when claiming interest on the debt as per contract terms
2. Settlement Offer: Proposed settlement terms when willing to negotiate or accept partial payment
3. Previous Correspondence Reference: References to prior communication when previous demands have been made
1. Statement of Account: Detailed breakdown of the debt
2. Original Contract: Copy of agreement giving rise to the debt
3. Payment History Records: Documentation of payment history and defaults
4. Supporting Documents: Invoices, delivery notes, or other relevant evidence
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