Freelancing for a while now, and I’m curious if demand letters actually work. I’ve got a client who hasn’t paid in two months.
I hear people swear by these letters, but do they really change anything, or just make things awkward?
Mixed results here. I’ve sent maybe 4 or 5 demand letters over the years.
Two clients paid up within a week of getting the letter. One ignored it completely and I had to write off the invoice. The other two dragged it out for another month but eventually paid.
Here’s what I learned:
- Keep it professional but firm
- Set a clear deadline (usually 10-14 days)
- Mention next steps without being too threatening
- Send it certified mail so they can’t claim they never got it
The awkwardness thing is real, but honestly if they’re not paying you already, the relationship is pretty much done anyway. At least the letter shows you’re serious about collecting what you’re owed.
Worth trying before you move on to small claims or just eating the loss.
I send them after 30 days now. Works about half the time but better than doing nothing.
Two months is too long to wait. Clients who delay payment that long usually have cash flow issues or don’t intend to pay. I’ve sent demand letters about six times. Three clients paid quickly, two ignored it, and one paid only partially. The ones that work usually respond fast. If they will pay after a letter, you’ll know in about two weeks. Forget certified mail. Just email the letter and then follow up with a phone call a few days later. If they avoid your call, you know their intentions.
Sent three demand letters in the past five years. Got paid on two of them.
The first one worked like magic - payment showed up in four days. Client even apologized and said they forgot about the invoice.
Second letter got ignored completely. Third one took forever but the check finally came.
What I do different now is mention specific contract terms in the letter. Like if your contract says late fees or interest charges, put that in there. Makes it feel more official.
Also learned to send these way earlier. Don’t wait two months like you did. I send mine at 45 days now.
Worst case scenario is they don’t pay and you’re in the same spot you are now. But at least you tried something before giving up on the money.
I stopped sending demand letters after trying it a few times. The clients who respond to letters usually pay anyway if you just call them directly.
For the ones who really don’t want to pay, a letter just gives them more time to come up with excuses. I’d rather spend that time finding new clients who actually pay their bills.