Letters Before Action (LBAs) or Late Payment Demands are very cost-effective. They are used to secure payment, or to obtain a response from your customer before the commencement of a claim.

What is the success rate?

Some clients can achieve 100%, but other clients may achieve 0%.

It depends on:

• when they are used
• what prior collection processes you have employed
• the credit standing of the debtor

Overall, 85% of LBAs issued by Lovetts result in no further legal action being taken.

What does it cost?

A standard UK LBA or LPD, via our CaseManager web forms, costs £2.00 and a standard Web Overseas LBA costs £20.00.

At these prices it costs less than you taking further action yourself!

An alternative to a Letter Before Action is a Late Payment Demand that allows you to claim Interest and Compensation under the Late Payment of Commercial Debts (Interest) Act.