1. The situation
2. Unpaid invoices
One line per invoice, amount including VAT. Enter a deposit or part payment with its date: before the due date it reduces the base, after the due date it stops interest on the paid part from that date.
| Invoice no. | Issued | Due date | Amount (incl. VAT) | Paid so far | Paid on |
|---|
3. The calculation
4. The parties (for the letter)
Your details are remembered in this browser only, for your next letter.
You (creditor)
The debtor
5. The letter
Letter preview
Frequently asked questions
What interest rate applies to a late invoice in the UK?
Under the Late Payment of Commercial Debts (Interest) Act 1998, 8 percentage points above the Bank of England Bank Rate in force on 30 June or 31 December before the interest starts. Unlike France, the rate then stays fixed until payment.
How much fixed compensation can I claim?
£40 for an invoice under £1,000, £70 from £1,000 to £9,999.99 and £100 from £10,000, per invoice, under section 5A of the Act. The tool adds it to each overdue invoice.
Why is the letter different for a sole trader?
The Pre-Action Protocol for Debt Claims applies when the debtor is an individual, including a sole trader. The tool then writes a letter of claim giving 30 days and lists the Information Sheet, Reply Form and Financial Statement to enclose, with the official link to print them. Against a company, it writes a letter before action giving 14 days.
Is my data sent anywhere?
No. Amounts, names and addresses are processed in your browser. Your own details can be remembered in this browser only, for the next letter.
What does it cost?
The full calculation is shown on screen with a partial letter preview. The complete PDF letter with the statement of account costs £3.99 for 24 hours of access or £11.99 for 30 days, one-off payment, no subscription.