Demand Letter - Payment - Colorado

DEMAND FOR PAYMENT LETTER

Choose the applicable letter below before sending.

Sender gate. Use the general letter below only after reviewing the sender, debt, agreement and governing law. If a covered debt collector is collecting a consumer debt, use the separate validation notice in Section B and confirm every required field and state disclosure. Do not send both letters to the same recipient as one form.

SECTION A — GENERAL PAYMENT DEMAND

Preparation and authority gate

Account reconciled through: [__/__/____]

Counsel / authorized reviewer: [________________________________]

Colorado interest and claim-classification check

C.R.S. § 5-12-102(1) permits a claimant, when money or property has been wrongfully withheld and no rate is agreed, to elect either the withholding party's gain or 8% per year compounded annually. Subsection (2) addresses money due on a bill, note, written instrument, settled account, or account; subsection (5) caps interest on medical debt at 3% per year. Identify the transaction, governing agreement or statute, due date, election, and actual calculation before claiming interest. Do not insert 8% as an automatic rate for every debt.

Before threatening suit, classify the claim and calculate accrual and any tolling. C.R.S. § 13-80-101(1)(a) gives a general three-year period for contract actions, except as § 13-80-103.5 provides. Section 13-80-103.5(1)(a) gives six years for an action to recover a liquidated debt or an unliquidated determinable amount, subject to its stated exception. Do not represent that this particular claim is timely until its facts have been reviewed.

Reviewed Colorado claim category, accrual, and limitation: [________________________________]

Reviewed interest authority, rate, accrual date, and amount: [________________________________]

Execution review: C.R.S. §§ 13-54-104(2)(a)(I) and 38-41-201(1) restrict ordinary wage garnishment and protect qualifying homestead value. No execution remedy is promised in this letter.

Demand letter

Re: Demand for Payment Under [UNDERLYING AGREEMENT]

Date: [DATE]

To:
[DEBTOR NAME]
[DEBTOR ADDRESS]

From:
[CREDITOR NAME]
[CREDITOR ADDRESS]

Underlying agreement or transaction: [TITLE / DATE / REFERENCE]

Dear [DEBTOR OR REPRESENTATIVE]:

Our records show the following account as of [DATE]:

Principal claimed: $[________________________________]

Interest, late charges, fees, costs, or taxes claimed only under the reviewed authority:

Total amount demanded as of [DATE]: $[________________________________]

Please pay the amount shown above by [DATE], if that response date is supported by the completed review, using the verified payment instructions supplied through [SECURE METHOD].

If you dispute an entry or claim a payment, credit, return, offset, defense, or other adjustment, please send the supporting records to [CONTACT / ADDRESS / SECURE METHOD] by [DATE]. We will not treat silence in response to this letter alone as a new promise to pay.

If the amount cannot be paid as requested, you may submit a written proposal. No proposal changes the account or resolves a claim unless accepted through an authorized written agreement.

Route any instrument or communication marked “payment in full,” “full settlement,” or similar language to authorized counsel or personnel before acceptance, deposit, or processing. This letter does not determine the legal effect of a conditional payment.

If the matter is not resolved, the sender will evaluate any next step permitted by the reviewed documents and governing law. This letter does not represent that default, acceleration, interest, fees, damages, a lien, attachment, suit, or another remedy is automatic.

This letter does not purport to amend the underlying documents, create a new covenant, or select a new forum. The effect of any communication or payment is governed by the applicable law and facts.

Sincerely,

[CREDITOR NAME]

By: _____________________________________
Name: [AUTHORIZED SIGNATORY]
Title: [TITLE]
Date: _________________

Attachments: [ACCOUNT STATEMENT / INVOICES / AGREEMENT EXCERPT / OTHER]

Additional basis and supporting record: [GOODS DELIVERED / SERVICES PERFORMED / NOTE / GUARANTY / OTHER; DATE AND EXHIBIT]

Delivery method and proof: [________________________________]

Copies: [________________________________]

SECTION B — CONSUMER DEBT COLLECTOR VALIDATION NOTICE AND PAYMENT REQUEST

Use this paper letter only when the sender, consumer, and debt meet the definitions in 15 U.S.C. § 1692a and a validation notice is due under § 1692g and 12 C.F.R. § 1006.34. For a Colorado account, check the interest and limitation categories above and C.R.S. § 5-16-109 before using the payment request. Colorado also requires written validation disclosures from covered debt collectors and collection agencies; check scope and any medical-debt request before mailing. The sender must check the account, state disclosures, delivery restrictions, cease-contact requests, attorney representation, bankruptcy, and any time-barred status before mailing. Do not use a payment deadline or threat that overshadows validation rights; do not threaten action that is unavailable or unintended. If the notice will be sent electronically, obtain review of the additional delivery and response requirements before adapting it.

Date: [__/__/____]

From debt collector: [LEGAL OR TRADE NAME]

Collector mailing address for disputes and original-creditor requests: [STREET, CITY, STATE, ZIP]

To consumer: [FULL NAME]

Consumer mailing address: [STREET, CITY, STATE, ZIP]

Account number on itemization date, if any: [NUMBER OR RECOGNIZABLE TRUNCATION]

Current creditor: [NAME]

Creditor on itemization date, if this debt concerns a consumer financial product or service: [NAME]

Debt information

Validation period end date: [__/__/____]. Calculate this date under 12 C.F.R. § 1006.34(b)(5): 30 days after actual or permitted assumed receipt of the validation information. Verify the calculation before mailing.

This is an attempt to collect a debt. Any information obtained will be used for that purpose.

Please pay $[CURRENT AMOUNT] using [VERIFIED PAYMENT METHOD AND ADDRESS], if you choose to pay. You may use the validation period to dispute the debt or request original-creditor information. This request does not shorten that period, and collection activity during it must not overshadow those rights.

If you notify us in writing on or before [VALIDATION PERIOD END DATE] that you dispute this debt or any part of it, we must stop collecting the disputed amount until we send you verification of the debt or a copy of a judgment. If you request in writing on or before that date the name and address of the original creditor, we must stop collection until we send that information. If the original and current creditors are the same, we may instead tell you that in writing and refer you to the validation information already provided.

If you do not contact us to dispute the debt by [VALIDATION PERIOD END DATE], we will assume the debt is valid. Your failure to dispute it is not an admission of liability in court.

For a debt related to a consumer financial product or service, more information about debt collection protections is available at www.cfpb.gov/debt-collection.

Colorado statutory notices:

FOR INFORMATION ABOUT THE COLORADO FAIR DEBT COLLECTION PRACTICES ACT, SEE HTTPS://COAG.GOV/OFFICE-SECTIONS/CONSUMER-PROTECTION/CONSUMER-CREDIT-UNIT/COLLECTION-AGENCY-REGULATION/.

A consumer has the right to request in writing that a debt collector or collection agency cease further communication with the consumer. A written request to cease communication will not prohibit the debt collector or collection agency from taking any other action authorized by law to collect the debt.

Colorado law prohibits credit bureaus from reporting medical debt or factoring medical debt into a credit score unless the consumer report is to be used in connection with a credit transaction that involves, or that may reasonably be expected to involve, a principal amount that exceeds the national conforming loan limit value for a one-unit property as determined by the federal housing finance authority.

Collector phone for payment questions: [PHONE]

How do you want to respond?

Check all that apply:

☐ I want to dispute the debt because I think:

☐ This is not my debt.

☐ The amount is wrong.

☐ Other (please describe on reverse or attach additional information): [DETAILS]

☐ I want you to send me the name and address of the original creditor.

From consumer: [NAME AND MAILING ADDRESS]

To debt collector: [NAME AND DISPUTE / ORIGINAL-CREDITOR MAILING ADDRESS]