30 days past due letter: templates for 30, 60 and 90 days

A 30 days past due letter is often the first formal word a business customer hears from you about an unpaid invoice. It sets the tone for everything after it. Get it right and you are far more likely to get a date or a reason back. Get it wrong, too vague or too aggressive, and you end up writing the 60 and 90 day letters as well.

This guide explains what each letter in the 30, 60 and 90 day sequence is for, what to include, and gives a template for each. It is written for invoices from one business to another. Debts owed by consumers come under separate federal and state rules, and this guide does not cover them. Nothing here is legal advice; where your contract or your state's law matters, check them.

Why 30, 60 and 90 days

The 30, 60 and 90 day marks come from the aging buckets on an accounts receivable report: current, 1-30 days, 31-60, 61-90 and over 90. Firms that review aging once a month often send a letter as an invoice moves into each bucket.

You do not have to wait 30 days for the first contact. A short, friendly email a week after the due date often catches an invoice that was simply missed, and leaves the 30 day letter for the customers who did not respond to it. Whatever schedule you choose, use it every time. Customers learn your habits; if late invoices are chased only in the weeks you have time, some of them learn to wait.

What every letter must include

Each letter should stand on its own, because the person reading it may never have seen the earlier ones:

• Your company name and contact details, and the customer's legal name.
• The invoice number, invoice date, due date and amount still open. For several invoices, list each and give the total.
• How many days past due the invoice is.
• How to pay: ACH details, payment link, or check instructions.
• A clear request: payment by a date, or a reply telling you when to expect it.
• An invitation to tell you if something is wrong with the invoice.
• A name and phone number for questions.

Send each letter by email to the person who handles payables, and keep a copy. If the customer has a portal or a purchase order process, make sure the invoice actually went through it; some "late" invoices were never approved for payment in the first place.

The 30 days past due letter

At 30 days the tone is still courteous. Assume it is an oversight, and make it easy to fix.

Subject: Invoice [number] is 30 days past due: [Your company]

Dear [Customer contact],

Our records show that the following invoice is now 30 days past due:

  Invoice [number], dated [invoice date]
  Due [due date]
  Amount open: [amount]

If you have already sent payment, thank you, and please disregard this letter. If not, we would appreciate payment by [date, about 10 days out]. You can pay by [payment instructions].

If there is a problem with the invoice, or it should go to someone else, please let me know so I can sort it out.

Sincerely,
[Your name]
[Title], [Your company]
[Phone] | [Email]

The 60 days past due letter

At 60 days, the customer has missed at least one reminder. Be direct about that, ask for a specific payment date, and ask what is in the way. This is also the point to pick up the phone if you have not already.

Subject: Second notice: invoice [number] is 60 days past due

Dear [Customer contact],

We wrote on [date of first letter] about the invoice below, which is now 60 days past due:

  Invoice [number], dated [invoice date]
  Due [due date]
  Amount open: [amount]

We have not received payment or a reply. Please send payment by [date], or contact me by then with the date we can expect it. If the invoice is on hold for a reason, such as a missing purchase order or a question about the work, please tell me what you need.

You can pay by [payment instructions].

Sincerely,
[Your name]
[Title], [Your company]
[Phone] | [Email]

The 90 days past due letter

At 90 days, this is a final notice. State the amount, give a firm date, and say what you will do next, but only something you have actually decided and that your terms allow. Possible next steps include a phone call from the owner, putting further work on hold, or applying a late fee your contract provides for. Check your contract or terms before you mention any of them; do not use a consequence as a bluff.

Subject: Final notice: invoice [number], [amount] 90 days past due

Dear [Customer contact],

This is our final notice about the invoice below, which is now 90 days past due:

  Invoice [number], dated [invoice date]
  Due [due date]
  Amount open: [amount]

We wrote on [date] and [date] and have not received payment or a response. Please arrange payment of [amount] by [date, about 7 days out], or contact me before then so we can agree on a way forward.

If we have not heard from you by [date], [your decided next step, for example: I will call you to discuss the account].

You can pay by [payment instructions].

Sincerely,
[Your name]
[Title], [Your company]
[Phone] | [Email]

Things to leave out

• Threats you will not carry out. They train customers to ignore you.
• Mentions of credit reporting, collections agencies or legal action, unless you have decided on that step and know what it involves. That is a decision for you and your advisers, not a line in a template.
• Anger or blame. The person reading it is often not the person who decided not to pay.
• More than one ask. Payment by a date, or an answer. Nothing else.

When the customer answers

Whatever comes back, write it down against the invoice, and adjust the sequence:

• A promised date: hold further letters until a few days after it, then check.
• "We already paid": check your deposits. If it is not there, ask for the date, amount and method.
• A dispute: stop the letters and talk. Resolve it, issue a credit if it is warranted, and agree a date for the rest.
• A new contact: send the latest letter to them, and update your records so the next one reaches the right person.

Keeping the sequence going

The letters are the easy part. The hard part is noticing every invoice as it crosses each mark, sending the right letter, and remembering who promised what. Past Due Nudge does this from your QuickBooks Online open-invoice export, on a shorter clock: reminders signed with your company's name at 7, 21 and 45 days past due, with one-click answers for the customer (paying by a date, already paid, disputing, or wrong contact) and a list of the accounts that need a call from you.