Payment demand letter format for builders
A demand letter tells a buyer which construction milestone has been reached and how much is now due. A clear demand letter reduces disputes and speeds up collection.
What to include
- ✓Developer name, logo and RERA registration number
- ✓Buyer name, unit number, tower and project name
- ✓Demand date, due date and demand number
- ✓Milestone reached and percentage of total consideration
- ✓Amount due, GST and any interest on delayed payment
- ✓Bank account details and accepted payment modes
- ✓Authorised signatory
Sample format
Date: [DD/MM/YYYY]
To, [Buyer name], Unit [No.], [Tower], [Project]
Subject: Demand for payment – [Milestone description]
Dear Sir/Madam, we are pleased to inform you that the construction of your unit has reached the stage of [milestone]. As per the agreed payment schedule, an amount of ₹[amount] (inclusive of GST) is now due and payable by [due date].
Kindly make payment by cheque, RTGS or NEFT to the account details given below. Delay beyond the due date may attract interest as per the agreement for sale.
Yours faithfully, [Authorised signatory], [Developer name]
Sample for reference only. Adapt to your agreement for sale and applicable RERA rules, and confirm with your legal advisor.
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Poladio generates this document as a branded PDF from your booking data.
See how it worksFrequently asked questions
Is a demand letter legally required?
A written demand is the standard way to trigger payment under the agreement for sale. Your agreement and applicable RERA rules decide the exact process, so confirm with your legal advisor.
Can demand letters be sent on WhatsApp?
Yes. Poladio generates the PDF and sends it to the buyer on WhatsApp and email together, and keeps a history of every demand sent.