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Security Demand Letter
"I need a Security Demand Letter to call upon a commercial property security for a defaulted loan of £2.5 million, where the borrower has missed three consecutive monthly payments and we need to enforce by March 2025."
1. Recipient Details: Full name, address, and any reference numbers of the recipient
2. Security Reference: Clear identification of the security arrangement being called upon, including date and parties
3. Demand Statement: Clear statement of the amount being demanded and legal basis for the demand
4. Payment Instructions: Specific payment details, deadline, and acceptable payment methods
5. Consequences: Statement of legal consequences that will follow non-compliance with the demand
6. Signature Block: Formal closing, including authorized signatory details
1. Previous Correspondence: Reference to prior communications when this is a follow-up demand
2. Interest Calculation: Detailed breakdown of interest charges when applicable to the demand
3. Settlement Options: Alternative payment arrangements or settlement options if flexibility is being offered
4. Consumer Rights Notice: Required when the security involves a consumer debt, outlining their statutory rights
1. Schedule A - Calculation Breakdown: Detailed breakdown of the demanded amount including principal, interest, and any additional charges
2. Schedule B - Security Documentation: Copies or relevant extracts of the underlying security agreements
3. Schedule C - Payment History: Record of previous payments, defaults, and relevant correspondence
4. Schedule D - Supporting Evidence: Any additional documentation supporting the demand, such as valuations or expert reports
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