PAYMENT LETTER

Types of letter Vocab & Structures

Expressions & Notes

Documents usually Methods of payment Structures

Invoice letter attached
(From seller) Give buyer details of when & 1. Objectives
how much they must pay 2. Details
3. Request
Invoices Bank transfer 4. Friendly Ending
document requesting for payment and
Advice of payment recording of transactions which have
information about what has been bought or
when a bank moves money by order from
one account to another.
(From buyer) Confirm
payment/document/process in trade
sold, the terms of the sale, and details of the
transaction
Invoice letter Acknowledgement letter
transactions.

Example: Buyer: “Thank you for your prompt Bill of exchange

delivery. Please find enclosed our draft for #120
drawn on Eastland City Bank, Sommeryille.
Proforma invoices the supplier draws a bill on the customer.
While invoice is used as a bill (before the The bill states that the customer will pay the
Could you please acknowledge receipt?” supplier an amount within a stated time.
payment is made), proforma invoice is used
as a quotation (before the order is made)
providing information of the goods (price,...)
to help the buyer in making a decision

Acknowledgement whether to place an order or not.

Letter of Credit Notes: threaten by saying "Please note that Notes: Acknowledge as soon as possible.
(From seller) Confirm the payment/document a document issued by a bank on a we'll charge a late fee"
they have received. customer's request, ordering an amount of
Ex: Seller: “Thank you for your draft/credit Statement of account money to be paid to a supplier.

transfer for $100 in payment of our
statement/invoice No. - dated..”
sent to the customer, giving details of all the
Delayed payment
(From buyer) Ask for more time to pay.
Seller allows credit in the form of an open Advice letter “Request for more time
account for an agreed period of time. At the
end of the period a statement of account is
to pay” letter
Postal order:
transactions between the buyer and seller
for that period. can be bought from the Post Office, usually
to pay small amounts, and sent to the
supplier directly.

Expressions Notes: don't forget to say thanks for the

product/service that you've paid for with the Notes: Be thankful in the letter
phrase “constant assistance”

1. Invoice letter
the due date is crossed

2. Advice of payment
The payment is for your invoice no. 20
Thanks for constant assistance

3. Acknowledgement
This is to confirm that on [date]...

4. Delayed payment
Please allow me, a further 10 days, to clear my
account