PAYMENT

Group 3
Novita Dwi Putri K2212057
Nur Amalina M K2212058
Prayogik Arga M K2212059

INVOICES
Records of transactions as well as
request for payment
Record of transactions:
What has been sold or bought
The terms of the sale
Detail of the transaction
It may be accompanied by a short
covering letter or email.

Covering Letter or Email

Statement
Please find enclosed our invoice No. B1951 for 329.43. the
plugs you ordered have already been dispatched to you, CIF,
and you should receive them within the next few days

Our Invoice, No.TR335116 for 6,780.00 net is attached. We

look forward to receiving your cheque, from which you may
deduct 3% cash discount if payment is made within seven
days.

Pro Forma Invoices

Definition
It is a document that states a commitment on
part of the seller to deliver the products or
services as notified to the buyer for a specific
price.

When to use pro forma invoices

Pre-payment
It is needed for documentation
Informing the costumer of the price

A covering letter may accompany a pro forma invoices.

The enclosed Pro forma No. 2164 for8,253.76 is for

your Order No. c1534, which is now packed and
awaiting despatch. As soon as we receive your
cheque we will send the goods which should then
reach you within a few days.

We are sending the enclosed pro forma (No.x9181)

for 3,960 gross, for the consignment of chairs you
ordered on approval. We would appreciate it if you
could return any unsold chairs by the end of May as
agreed.

Statement of Account
It is a record of the transactions that have
occurred

on

customers

account

during

specified period of time.

Items on the acoount will record information
about:
a. Purchases made by the customer
b. Any payments rendered by the customer
c. The balance on the account

Methods of Payment

List of Methods of Payment

Bank draft
Bill of exchange
Cheque
Credit transfer
Letter of credit
Cash on delivery
Promissory note

Bank Draft
In the case of a BANK DRAFT, the customer
buys a cheque from the bank for the
amount he or she wants to pay and sends it
to the supplier. Banks usually require two of
their directors' signatures on drafts, and
make a small charge.

Bill of Exchange
In BILL OF EXCHANGE (B/E) transactions the
supplier draws a bill on the customer. The
bill states that the customer will pay the
supplier an amount within a stated time,
e.g. thirty days. The bill is sent direct to the
customer or paid through a bank.

Cheque
The customer must have a CURRENT
ACCOUNT, Or certain types of SAVINGS
ACCOUNT, to pay by cheque.

Credit transfer
In the case of CREDIT TRANSFERS, the
customer fills out a bank GIRO slip and
hands it in to a bank with a cheque. The
bank then transfers the money to the
supplier.

Letter of credit
A LETTER OF CREDIT (L/C) iS a document
issued by a bank on a customer's request,
ordering an amount of money to be paid to
a supplier. Payments by letter of credit can
be made within the UK, but this method is
more common in overseas transactions

Cash on delivery
CASH ON DELIVERY (COD) is a service
offered by the Post Office. They will deliver
goods and accept payment on behalf of the
supplier.

Promissory Note
A PROMISSORY NOTE is simply a written
promise from a customer to a supplier that
the former will pay the amount stated,
either on demand or after a certain date.

DELAYED PAYMENT
A) Asking for more time to pay

This is an area of correspondence where you must use your own judgment
about how confidential the information is. If you are writing to a supplier to
explain why you have not cleared an account, remember that they are mainly
interested in when the account will be paid. So, while you must state why
you have not paid, you must also explain when and how you intend to pay.
Begin the letter with your creditors name and notice the verbs clear and
settle (an account) are used rather than pay.

Begin the letter with your creditors name and notice the verbs clear and settle (an
account) are used rather than pay. If you owe someone money, you should know
and use their name that refer to the account and apologize in clear.

I am sorry that I was not able to clear my July account.

We regret we were unable to send a cheque to settle our account for the last

quarter.
Explain why you cannot clear the account, but do not be dramatic.

We were not able to settle the account because of the bankruptcy of one of our

main customers. The debt was considerable and its loss has made it difficult for us
to pay our suppliers.

Showing willingness to clear the debt, and will gain your creditors confidence.
We

will try to settle your invoice within the next four weeks. Meanwhile the

enclosed cheque for2,5oo.00 is part payment on account.

If you cannot offer a part payment, give as precise a date of payment as you can.
As

soon as the insurance company sends us compensation, we will settle the

account. We expect this to be within the next two weeks.

B) Replaying to request for more time

There are three possible ways in which you might reply to a request from a customer for more
time to settle an account:
1.

If you agree to the request

Thank you for your letter concerning the outstanding balance on your
account. I sympathize with the problem you have had in clearing the
balance and am willing to extend the credit for another six weeks.
Would you please confirm that the credit will be settled then?

2. If you refuse the request, you will need to explain, politely, why you are refusing
.

Thank you for your letter explaining why you cannot clear your January
statement for 2,167.54. I appreciate your difficulty, but we ourselves
have to pay our own suppliers and therefore must insist on payment
within the next ten days. We look forward to receiving your remittance.

3. An offer of a compromise
Thank

you for writing to let us know why the May account is still

outstanding. Unfortunately, we cannot extend the credit any

longer as we allowed a considerable discount for prompt payment.
Nevertheless, in view of the difficulties you have been having with
your two major customers, we are prepared to compromise and
suggest that you clear half the outstanding balance immediately
by sending a cheque for 4,871.00, and clear the remainder by
the end of next month. We look forward to your remittance and
confirmation that the balance of the account will be cleared in July

C) Request for payment

1.

First request

Never immediately assume your customers have no intention of paying their

account if the balance is overdue. Therefore, a first request should take the form of
a polite enquiry and try to make the letter impersonal.
2.

Second request

If a customer intends to pay, they usually answer a first request immediately, But if
they acknowledge your request but still do not pay, or do not answer at all, then
you can make a second request.
3. Third request (final demand)
Review the situation from the time the account should have been paid.

Heidelberglaan 2
Postbus 80.n5
NL-35o8 TC
Utrecht
Telefoon (+31) 30-532 044
Fax (+31)30-581 617
Email vanBasten.d@vanBasten.co.nl
www.vanBasten.com
15 January 20
Herr Dieter Schubert
Director
DVB Industries GmbH
Correnstrasse 250
D-40000 Munster
Dear Herr Schubert
I am sorry that we were not able to clear your November statement for 5,850 and December invoice,
No.7713, for $1,289. We had intended to pay the statement as usual, but a large cash shipment to one of
our customers in Australia was part of the cargo destroyed in the fire on the Tippa when she docked in
Bombay in late November.
Our insurance company have promised us compensation within the next few weeks. Once we have
received this, the account will be paid in full. We feel confident that you will appreciate the situation and
hope you can bear with us until the matter is settled.
Yours sincerely
D. van Basten (Ms)
Director

THANK YOU
FOR
YOUR
ATTENTION