Document background
The Past Due Collection Letter is a crucial document in the Philippine debt collection process, used when payments on loans, services, or other financial obligations become overdue. This document serves as a formal demand for payment and is typically sent after the initial payment deadline has passed. It must comply with Philippine regulations, particularly the Consumer Act and BSP guidelines on fair debt collection practices. The letter should detail the outstanding amount, include payment history, specify current charges and interest, and provide clear payment instructions. It's an essential tool in the credit management process, often serving as documentary evidence in case of legal proceedings, while maintaining professional standards and protecting both creditor and debtor rights under Philippine law.
