Attention: Accounts Payable
Dear Sir Madam,
Please note that payment terms are strictly 30th days from end of month, should the 30th fall on a weekend or a public holiday the payment must be received on the last business day of the month. Payments can be either direct deposited or cheques posted to Accounts Receivable.
If the customer fails to pay any amount due to _______ or if in _______ opinion there is any matter likely to prejudice the trading ability or asset position of the customer, then in addition to any other rights it may have. ______ can:
(a) withhold delivery on any further goods ordered by the customer but not yet delivered;
(b) cancel the customers credit account; and/or
(c) claim interest on all amounts then due to ________at the business overdraft rate then charged by ________ bank on similar amounts from date each amount was payable to the date of payment.
If future payment terms are breached, __________ reserves the right to enforce one or all of the above clauses per the credit application signed by your company. Should you have any queries regarding this correspondence please feel free to contact me directly.
Yours faithfully