A man borrowed certain loan from a Company for his financial needs and on one of the days he received letter from them which read as follows:
Sir / Madam,
We request you immediately to note the following.... This is a one time warning and further reminders will not be sent in this context!
You know very well that you entered into a loan agreement with us on a clear understanding that you will arrange for prompt repayment of the due amount from your end on or before______of every month.... A default in this payment might have been be an oversight or willful neglect from your side.... Whatever, in both cases the penalty is as follows:
If you pay on or before __/__/____, the penalty is calculated at a lower interest rate of ___%. After this date, the penalty is calculated at a higher rate of___% interest....
Please note that a default /delay in payment reflects in your Credit Worthiness and will be reported to Credit Rating Companies without a concession in this regard! And this in turn will adversely affect your future borrowings from all the Established Financial Institutions.
Further as per the loan agreement you entered into, a legal action will follow to attach your properties and other assets if payment of over due amount is ignored for such a time after the firm receipt of this letter which will be decided solely at our end!
On scrutiny, we found that your overdue amount pending as on date is Rs 0/- and we sincerely advise you pay this amount immediately and thus avoid all the penalties stated above....
Your Payment Mode : Only A/c Payee Cheque with clear mention of your loan account number on the Cheque.
Note : This is a Computer generated statement and as such does not need any authentication.... If you have already paid your dues in time, please ignore this letter....