A debt payment receipt records a payment made against a debt. It serves as written proof of payment and contains details about the creditor, debtor, and payment. It also states the remaining balance and payment schedule.
A debt release letter is a type of debt payment receipt. A debtor can request it from their creditor once they’ve paid their debt in full. Then they can send the letter to credit reporting agencies as evidence that the financial obligation no longer exists and can be removed from the debtor’s credit report.
What to Include
- Creditor information (name, address, phone, email);Debtor/payee information (name, address, phone, email);
- Description of what the original debt is for;
- Description of the arrangements for satisfying the remaining balance (if applicable);
- Payment method (cash, check, credit card, other);
- Receipt number;
- Signatures of both parties;
- Summary of charges:
- Total amount due,
- Amount paid, and
- Outstanding balance (if applicable); and
- Transaction date.