Financial Hardship
Job loss or medical emergencies can make it difficult to stay on top of your payments. If you find yourself in one of these situations, reach out to your creditors as soon as possible.
A late fee, also known as an overdue fine, late fine, or past due fee, is a charge fined against a client by a company or organization for not paying a bill or returning a rented or borrowed item by its due date. Its use is most commonly associated with businesses like creditors, video rental outlets and libraries.
I truly believe that it doesn't reflect my creditworthiness and commitment to repaying my debts. It would help me immensely if you could give me a second chance and make a goodwill adjustment to remove the late [payment/payments] on [date/dates]. Thank you for your consideration, and I hope you'll approve my request.
If you missed a payment because of extenuating circumstances and you've brought account current, you could try to contact the creditor or send a goodwill letter and ask them to remove the late payment.
Responding to a late payment email involves addressing the issue promptly and professionally. Start by apologizing for the delay and acknowledging any inconvenience caused. Be transparent about the reasons for the late payment, without oversharing personal details.
I have included the check for the full amount of {amount}, signed and dated on {date}. I would appreciate it if, considering the circumstances and the fact that this is my first infraction, you would be willing to waive the late payment fee. I apologize again for the delay and thank you for your time and patience.
The invoice payment terms should detail when late fees are due and the rates applied. A simple example late fee phrase could be: “Invoice payment is due within 30 days. Please be advised that we will charge 1% interest per month on late invoices.”
Contact Your Card Issuer
If you pay late, credit card issuers may be willing to waive the late fee and reverse the penalty interest as a courtesy if you call in and request it.
Writing an “Apologize For a Late Payment” letter is a professional and effective way to express regret for the delay in payment. This letter should include a sincere apology for the delay, a brief explanation of the reason for the delay, and a clear timeline for when the payment will be made.
What is a 609 letter? A 609 letter is a way to request is a way to verify the accuracy of the accounts listed on your credit report. While they're sometimes called 609 dispute letters or credit dispute letters, a 609 letter isn't actually a dispute. It's a request for a copy of the information in your credit file.
The invoice was due on [Due Date], and payment is now overdue by [Number of Days Overdue]. Be advised that late payment interest may be applied if we do not receive payment within 30 days. Let us know when we can expect to receive payment for the outstanding invoice. Please find the outstanding invoice attached.
Provide a clear and concise explanation of the circumstances that led to your bad credit. For example, did you lose your job or experience a significant medical expense? Providing this context can help the employer understand why your credit history looks the way it does.
Late Payment Penalty Clause: If any payment due to [Party Name] is not received by the due date, [Other Party Name] agrees to pay a late payment penalty of [amount or percentage] per [day/week/month] of delay. This penalty shall be in addition to and not in lieu of any other remedies available under this agreement.
90 to 119 days past due: After 90 days, the seriousness again increases, with possibly further increases for interest rates or other late payment penalties. 120 or more days past due: At this point, creditors might send your debt to a debt collection agency and close your account, which can further decrease your score.
And here's an example of invoice late fee wording you can use in your contract: [ “Thank you for choosing Jeff's Contracting for your contracting needs. Payment of this invoice is due within 30 days. Please be advised that a monthly late fee of 1% of the total amount due will be charged on overdue payments.
A goodwill letter is a formal request to a creditor asking them to remove a negative mark, like a late payment, from your credit report. Goodwill letters are most effective when the late payment was an isolated incident caused by unforeseen circumstances, such as a financial hardship or medical emergency.
Dear [Contact Name], I would like to apologize regarding the delayed payment for invoice [Insert Invoice Number]. We experienced a [payment processing error, administrative issue, etc.] that resulted in a delay in processing this payment.
I understand that my late payment has already attracted some penalties and charges, and I would wish to request you to waive these charges on account of the above issues. Kindly forgive me for this, and I promise that it shall never happen again.
What Are Acceptable Reasons for Late Payments on Credit Report? Acceptable reasons for late payments on a credit report typically include extenuating circumstances that are beyond the individual's control, such as serious illness, sudden job loss, or natural disasters.