Letter of Demand

Generate a Letter of Demand (Section 129, In Default Notice)

1. Overview

This function generates a formal Section 129 Letter. Under the South African National Credit Act 34 of 2005, this letter is a mandatory legal notice that must be sent to a client who is in default on their credit agreement.

IMPORTANT: Generating and sending this letter is a critical step before any legal action can be taken to enforce the agreement. Its purpose is to formally notify the client of their default and inform them of their rights to seek remedies, such as referring the matter to a debt counsellor.

2. Procedure to Generate the Letter

After navigating to the Letter of Demand screen, you will need to specify the response period for the client.

Field Description
No. of Days Enter the number of business days the client has to respond to this letter. The National Credit Act provides a statutory period, which is typically 10 business days, for the client to respond after receiving the notice. It is crucial to enter the legally compliant number of days.
 
The system will then create the document, populating it with the selected client's details.

Feature

 Description  Documentation 
 Print a letter  After you have selected a specific letter to generate for a client, the system takes you to a final screen where you can download, print, or email the completed document  Print Letters

3. Available Actions

Button Action
Finish Click this button to generate the Section 129 Letter of Demand document with the specified number of days.
Cancel Click this button to exit without generating the letter and return to the previous screen.

 

MAXMONEY Developed by MYCOMAX MICROFINANCE SOLUTIONS. Novamesh 18/06/2026