Late Payment Demands
Are your customers paying late? You may be able to claim significant compensation and interest!
What is is?
A Late Payment Demand (LPD) is a Letter Before Action claiming Late Payment interest and compensation.
LPDs are only available via our Web Site.
Why use it?
LPDs are a highly cost effective way of getting a contribution to your collection costs or even covering them completely. You can claim interest at 8% over Bank of England Base Rate and compensation of £40 - £100 for each unpaid invoice.
When can you use it?
You can claim Late Payment Interest and Compensation if:
- You have supplied goods and services
- Your buyer bought for business purposes
- The contract is not a consumer credit agreement
- The contract does not contain a provision for interest on overdue invoices (or any other substantial remedy for non payment)
- The order was placed after 6/8/02
When can't you use it?
If your contract with a debtor contains a provision for interest. However, you can still claim contractual interest or contractual compensation in your Letter before Action - please tell us if you require this.
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