Free Civil Litigation Tool
Demand Letter Amount Calculator
Before you send a demand letter, work out the exact total to demand — the principal owed, interest accrued to date, and any recoverable costs — so your letter states a precise, credible figure with a clear deadline.
✉️ Your Details
Your contractual rate, or an agreed/estimated rate.
Costs you are entitled to add, such as certain collection or filing costs.
Your Estimate
Enter your details on the left to see your estimate. This tool gives a general estimate only — not legal or financial advice.
Disclaimer: This calculator provides a general estimate of a demand amount using simple interest and is not legal advice. The interest and costs you can actually claim depend on your contract and the law. A demand letter should be tailored to your situation; consider having a lawyer prepare or review it.
Frequently Asked Questions
What amount should I put in a demand letter?
A demand letter usually states the principal owed, plus any interest accrued to date, plus recoverable costs, with a clear deadline to pay. Stating a precise, calculated figure makes the demand more credible and gives the other side an exact amount to settle.
Can I add interest and costs to a demand?
Often, yes — if your contract provides for interest, or statutory prejudgment interest may apply, and certain costs can be recoverable. This tool lets you add an interest amount and costs to the principal. A lawyer can confirm what you are actually entitled to claim.
Does a demand letter really help?
Frequently. A clear, professional demand that states a precise amount and a deadline often prompts payment that informal follow-up does not, and it creates a record that you acted reasonably if you later have to sue. It is usually the most cost-effective first step.
What if they still do not pay after the demand?
If the deadline passes without payment, your options include starting a claim in Small Claims Court (for amounts up to $50,000) or the Superior Court. The demand and its calculation then become part of the record supporting your claim.
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