Letter of Demand Template for South Africa
Create a letter of demand for an unpaid invoice, loan or deposit. It states the amount, the date you want it paid by and what you'll do if it isn't, drafted using South African legal frameworks.
The amount and what it's for
Invoice numbers, dates, what was supplied or lent, and any part-payments
A clear deadline
7, 14, 21 or 30 days, with the exact pay-by date written into the letter
Credit agreement wording when it applies
A section 129 notice section if the debt is under a credit agreement covered by the National Credit Act
What your letter of demand covers
A business letter from you to whoever owes you money, saying exactly what you want paid and by when.
The demand
- Your details and the debtor's, with the date and a clear subject line
- The amount owed, in figures and words
- What it's for: invoices, goods, services, a loan, rent or a deposit
- When payment was due, and the date you now want it by
- How to pay: your banking details and a payment reference
- Interest at your agreed rate or the prescribed rate, if you claim it
What happens next
- Only the next steps you choose, such as handing the matter to an attorney
- A section 129 notice section for debts under a National Credit Act credit agreement
- An invitation to send proof of payment or raise a dispute before the deadline
- Written as "we" for a business, or "I" if you're owed the money personally
- A signature block for you or your business
- PDF, with Word and Google Docs versions in the All Formats pack
Your letter in 3 steps
Answer a few questions about the debt. Lawly drafts the letter; you review it, sign it and send it.
Tell us about the debt
Who owes you, how much, what it's for, when it was due and how long they have to pay. About 10 minutes.
We draft your letter
We draft the letter from your answers. The pay-by date is worked out for you, and sections that don't apply to your debt are left out.
Review, sign and send
Check the details, sign it and send it yourself, for example by email and registered post. Keep proof that it was delivered.
Letter of demand or acknowledgement of debt?
A letter of demand asks for payment. An acknowledgement of debt records the debtor's agreement to pay, so it often comes next.
Letter of Demand
You sign it and send it. It tells the debtor what they owe, why, and the date you want payment by.
Use it when: payment is overdue and reminders haven't worked.
Acknowledgement of Debt
Signed by the debtor. It records that they owe the amount and agree to repay it, often in instalments.
Use it when: the debtor responds and agrees to a payment plan.
Next step: get the debt acknowledged in writing →Why small businesses use Lawly
Your letter is drafted using South African legal frameworks and ready for your review in minutes.
Fast and affordable
A complete letter in minutes from R199, without starting from a blank page.
In your own name
The letter comes from you or your business. Lawly drafts it; we don't send it or collect the debt for you.
Firm and factual
The tone is courteous, and the letter only mentions the next steps you've chosen.
Pricing
Pay once, with no subscription, and keep access to your letter for a year.
PDF Format
Ready to print and sign
- Your letter of demand as a PDF
- 1-year access to your document
- Email delivery within minutes
All Formats
Edit it before you send it
- Everything in PDF format
- + Microsoft Word (.docx)
- + Google Docs (editable link)
- Add your letterhead or adjust the wording
Need more than one document?
Check out our Business Bundles (5 or 14 documents) for bigger savingsFrequently asked questions
About letters of demand in South Africa
What is a letter of demand?
A letter of demand is a written request from the person or business that is owed money (the creditor) to the person or business that owes it (the debtor). It sets out the amount, what it's for, the date by which payment must be made, and what the creditor intends to do if it isn't paid. It's usually the first formal step before handing a matter to an attorney or going to court.
When should I send a letter of demand?
Once a payment is overdue and reminders haven't worked. Sending it sooner rather than later helps: the details are fresh, and it puts your demand on record before you take any further steps.
What is the difference between a letter of demand and an acknowledgement of debt?
A letter of demand comes from you and asks the debtor to pay. An acknowledgement of debt is signed by the debtor and records that they owe the amount and how they will repay it. They often follow each other: you send a letter of demand, and if the debtor agrees to a payment plan, you put it in an acknowledgement of debt.
Can I send a letter of demand myself?
Yes. You can send a letter of demand in your own name for money owed to you or your business. Lawly drafts the letter; you review it, sign it and send it. We don't send letters or collect debts on anyone's behalf.
How should I deliver the letter?
Use a method you can prove later, for example registered post or hand delivery, alongside email. Keep the proof of delivery with a copy of the letter. If the debt is under a credit agreement covered by the National Credit Act, the Act sets specific delivery rules, so check those before you send it.
What if the debt is under a credit agreement?
The National Credit Act covers many credit agreements, such as loans, or goods and services supplied on credit with interest or fees. If it covers your debt, the Act requires a notice under section 129 before legal action can start. Tell us in the questionnaire and the letter includes a section 129 notice section. If you're not sure whether the Act applies, check with an attorney or the National Credit Regulator before taking further steps.
Can I claim interest in a letter of demand?
If your terms, invoice or agreement set an interest rate, the letter can claim interest at that agreed rate. Otherwise it can claim interest at the rate prescribed under the Prescribed Rate of Interest Act, which changes from time to time. Only claim interest you are entitled to.
What happens if the debtor doesn't pay?
You decide the next step, and the letter only mentions the steps you choose: for example, handing the matter to an attorney or starting legal proceedings. If the debtor contacts you to arrange payment instead, an acknowledgement of debt can record the arrangement. For larger amounts, getting advice from an attorney before going to court is sensible.
Lawly generates document templates drafted using South African legal frameworks. These are not legal advice. Review before use — depth to match the document.
Payment, access and support
Secure payments
Payments go through PayFast, a South African payment gateway
1-year access
Re-download your document anytime within 1 year of purchase using your unique retrieval code
Email support
Email our support team about any technical or access problem
Often needed alongside this document
Guides on this topic
Plain-language guides researched from official South African sources. General information, not legal advice.
Ready to ask for what you're owed?
Create your letter of demand in minutes, drafted using South African legal frameworks and sent in your own name.