Letters Before Action (LBA) from £1.50
A Letter Before Action is a formal letter which sets out what is owed from a debtor to your business. It gives your customer a set time period (usually 7 days) in which to pay. Before issuing any legal proceedings a Letter Before Action must be sent or costs may be forfeited.
A Letter Before Action is an essential requirement of the debt recovery process. The LBA requests payment of the debt to your business, and warns of the imminent issue of a court claim together with additional interest and costs.
We can send an Email Letter Before Action for just £1.50 + VAT or a standard UK letter (plus free email) for £5.00 + VAT.
Late Payment Demands (LPDs)
We also recommend, at the same price, our Late Payment Demand. This is similar to a standard LBA but includes details of your invoices so that interest, compensation and costs of recovery may also be claimed in the letter.
The chances of collecting a commercial debt are enhanced by sending a Letter Before Action. At Lovetts we have found that over 84% of our Letters Before Action result in a successful debt collection.
Recover your costs!
Did you know? Recent changes in the law allow you to add to your Claim, not just interest, but also compensation of between £40 - £100 per invoice and any additional costs of recovery you may incur when chasing the debt. This can mean your debtor will pay virtually all your costs! If you would like to know more please refer to our blog article on the subject.
If your commercial debt remains unpaid, then we tell you when the initial LBA or LPD has expired and invite you to instruct us further. For most debts the most appropriate next step will be to issue a Claim or issue insolvency proceedings.