- A letter to refuse an application for credit, either from a business or a private citizen, should maintain the good will of the reader. Commonly, your declining letter should still leave an open door for future applications from the same person or business.
- Express gratitude to the applicant for requesting credit.
- Maintain a soft tone in refusing, if possible, by pointing out useful items in the reader's application. Explain the details why his or her application was denied.
- Provide, if possible, other possibilities or ways of doing business.
- Encourage him or her to apply some other time again.
[State, ZIP Code]
[State, ZIP Code]
[Subject: Normally bold, summarizes the intention of the letter] -Optional-
Dear [Recipients Name],
About your recent application for an All-Star Finance credit card, we regret to inform you that we are currently unable to offer you credit. We have carefully assessed and examined your credit report that unfortunately indicates you have numerous overdue (60+ days) payments pending. While your employment history is outstanding, it is our policy not to extend credit to an individual who has had a payment over 45 days due within the last 12 months.
Despite not being able to extend you credit we would like to make you aware of our layaway plan and hope that this service will be of some benefit to you. Please don't hesitate to reapply for an All-Star Finance credit card once your other debts have been settled and an appropriate time has elapsed. We do value and appreciate your business.
[Senders Title] -Optional-
[Enclosures: number] - Optional -
cc: [Name of copy recipient] - Optional -
Sample letter to decline a credit request.
Further things to consider when writing rejection letters to clients
Rejection letters are letters written to inform people that something they have made, written, etc., has been turned down. These letters can be used, for instance, to inform people that they have not been chosen for a job or school enrollment or that a book they have written has not been chosen for publishing. Conveying rejection can be difficult because most people don't know how to say the words without hurting the recipient. Actually, in most cases, people don't write rejection letters at all. They just drop communication with the concerned person, (which is rude). Rejection letters are important because they help build trust and develop goodwill between the parties involved.
After rejection, the people affected will be frustrated no matter what. However, well-drafted rejection letters can soften the blow and encourage them to keep trying. An excellent rejection letter is brief, considerate, and to the point. Begin by thanking the recipient for trying. State your decision politely and assertively, giving reasons for it. If you are rejecting a job application, for instance, give a genuine reason for it and encourage the recipient to apply for other positions. End on a positive note and wish the recipient success.
Letters to Clients
Letters to clients are letters a person or organization writes to other people and/or organizations that benefit from the senders' products or professional services. These could be welcome letters to welcome the clients to the organization, introduction letters to introduce a product or service to the clients, or thank-you letters to appreciate clients for their continued support. They could also be response letters to respond to clients' queries or inform letters to notify the clients of important matters like discounts on products and services, relocation of offices, etc. Basically, a letter to a client can be just about anything, as long as whatever you are communicating is business-related.
Letters to clients are business letters, and therefore, they should be formal and professional. Start the letter with a proper salutation. Clearly state the purpose of your letter. If a client is required to take a certain urgent action, make sure to specify exactly what he/she is supposed to do. Be brief and straightforward and avoid adding irrelevant details. Close the letter by warmly inviting the recipient to respond or to take the necessary action. Sign the letter and provide your contact details. Print the letter on the company's letterhead.