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Payment reminder generator

Write a payment reminder for an overdue invoice: a polite nudge, a firm second reminder or a final notice. For business customers it works out statutory late payment interest and the fixed recovery sum you can add. It runs in your browser and nothing is stored.

How to use it

1. Pick the customer type. For businesses, the tool adds interest and the fixed recovery sum; for homeowners it doesn't, because that law only covers business-to-business debts.
2. Send the polite reminder a few days after the due date, the firm one a week or two later, and the final notice only if they still haven't paid or replied.
3. Phone as well as writing. Many late payers just need a nudge.
4. For the exact interest on a business debt, use the late payment interest calculator, which looks up the rate for the date the debt went late.

Worked example

An electrician is owed £1,450 by a business customer on an invoice due 15 September 2026. At 11.75% a year, interest builds at about 47p a day, and the fixed recovery sum is £70 because the debt is between £1,000 and £9,999.99. The final notice states the interest, the £70 and the new total, and gives 14 days to pay.

The UK rules behind it

• Statutory interest. For late payments between businesses you can charge 8% plus the Bank of England base rate, unless your contract sets a different rate (GOV.UK, checked 17 October 2026). Bank Rate was 3.75% on 31 December 2025 and 30 June 2026, so 11.75% for debts that went late in 2026.
• Fixed recovery sum. £40 for debts up to £999.99, £70 for £1,000 to £9,999.99 and £100 for £10,000 or more, once per payment (GOV.UK).
• When a payment is late. If you didn't agree a date, it's late 30 days after the customer gets the invoice or the work is done, whichever is later (GOV.UK).
• Court claims. You can claim money owed online through GOV.UK. Before claiming against an individual, follow the court's pre-action steps for debt claims.

More: first payment reminder prompt · how to chase a late payment · payment terms for trades · invoicing apps for tradesmen · invoice template

A starting point, not legal advice.

Questions

How do I write a polite payment reminder?

Keep it short: the invoice number, amount and due date, a friendly request to pay this week, how to pay, and an offer to sort out any problem with the invoice. Assume it's an oversight the first time.

Can I charge interest on a late payment in the UK?

On business-to-business debts, yes: statutory interest at 8% plus the Bank of England base rate, plus a fixed sum of £40, £70 or £100, unless your contract sets a different rate. For homeowners, only if your terms said so.

When is an invoice legally overdue?

On the date you agreed. If you didn't agree one, a business payment is late 30 days after the customer gets the invoice or the work is done, whichever is later.

What should a final payment demand say?

That the debt is unpaid despite reminders, the amount (with interest and the fixed sum for business debts), a clear deadline such as 14 days, and that you may start a court claim if it isn't paid.

Can I take a customer to court for an unpaid invoice?

Yes, you can make a money claim online through GOV.UK. Send a final notice first, and for individuals follow the pre-action steps for debt claims.