Unpaid Debts & Disputes

Create a Letter of Demand Online in Australia

Owed money or need someone to act? Describe the situation in plain English and SignedSorted drafts a formal letter of demand — the properly worded first step before small claims tribunal.

From $3.99 per document · No subscription required
Quick answer: Yes — SignedSorted creates a formal letter of demand online in Australia from $3.99, the usual first step before small claims tribunal. Describe what's owed, and get a properly worded letter with a clear payment deadline, ready to send.
A clear, formal record of what's owed
Unpaid invoices
Personal debts
Money owed
Contract disputes
Supporting evidence
Payment deadline
How it was sent
Next steps if ignored
Common situations this covers
An unpaid invoice
A client who's gone quiet on a payment that's now overdue — a formal letter is often what finally gets a response.
A friend or family loan not repaid
A private loan that's stopped being repaid — a letter of demand is the standard first step before tribunal.
A bond or deposit dispute
Money someone is holding that should have been returned, with no clear reason given for withholding it.
A breach of a written agreement
The other party isn't doing what they agreed to — formally requesting they fix it before you take further action.
From conversation to sent letter
01
Describe what's owed
The amount, why it's owed, any agreement or invoice behind it, and how long it's been outstanding.
02
AI drafts your letter
A formal, properly worded letter of demand is generated in seconds, with a clear payment deadline.
03
Review and finalise
Check the details, adjust the deadline or tone if needed.
04
Send it
Download the sealed PDF and send it by email, post, or both — whichever gives you the record you need.

Keep a copy of everything. The letter itself, proof it was sent, and any response (or lack of one) — this is exactly what you'll need if the matter ends up at small claims tribunal.

What it actually looks like

A sanitised example — your actual letter is generated from what you describe.

Letter of DemandSA

Marcus W. → Former Tenant

Example only

Amount owed: $1,240 in unpaid rent
Basis: Signed residential lease agreement
Deadline: 14 days from date of letter
Next step stated: Small claims tribunal if unresolved
Frequently asked questions
What is a letter of demand?
A formal written request for someone to pay money owed or take a specific action, before you escalate to a tribunal or court. It sets out what's owed, why, and a deadline to resolve it — and it's usually the required first step before small claims tribunal will hear a dispute.
Do I need a lawyer to send a letter of demand?
No — anyone can send one, and it's often more effective coming directly from you since it shows you're serious enough to act. A lawyer-signed letter can carry extra weight for larger or more complex debts, but for straightforward unpaid invoices or personal debts, a clear, properly structured letter is usually enough.
How long should I give someone to pay?
7 to 14 days is the most common window — long enough to be reasonable, short enough to show you're serious. Very small or straightforward debts sometimes use 7 days; more complex disputes might warrant a bit longer.
Can I email a letter of demand, or does it need to be posted?
Email is generally fine and increasingly standard — what matters is that you can prove it was sent and received. Many people send both an email and a hard copy by post for larger amounts, simply to have two records.
Should I send it by registered post?
It's not required, but registered post (or anything with delivery confirmation) gives you solid proof of delivery if the matter ends up at tribunal later. For smaller, straightforward amounts, email alone is usually sufficient.
What happens if they ignore the letter?
If the deadline passes with no response or payment, your next step is typically lodging a claim at your state's small claims tribunal (thresholds and processes vary by state). The letter of demand itself is usually required evidence that you gave the other party a fair chance to resolve it first.
Can I go to small claims tribunal after sending a letter of demand?
Yes — in most states, sending a letter of demand first is either required or strongly expected before a small claims tribunal will accept your case, since it shows you tried to resolve things directly first.
What evidence should I keep alongside the letter?
Copies of the original agreement or invoice, any related messages or emails, proof of delivery of the letter itself, and a record of any response (or lack of one). Keep everything together — it's exactly what you'll need if the matter goes to tribunal.
Is there a cost to send a letter of demand?
No — a letter of demand is simply a formal written request, not a legal filing, so there's no court or tribunal fee involved in sending one. Costs only come in later if the matter proceeds to a tribunal claim.
Can a letter of demand be used for something other than money owed?
Yes — it can also formally request a specific action, like returning property, fixing a breach of contract, or stopping a particular behaviour. The same basic structure applies: what happened, what you're asking for, and a deadline to respond.

This is general information, not legal advice. Small claims tribunal processes, thresholds and requirements vary by state — check your state's tribunal for the current rules that apply to your claim.

Sources: ACCC — How to Complain, NSW Civil and Administrative Tribunal.

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