Engineering Study Material

1. Topics to be coveredtoday
Smart e-mail writing
Collection letter
Letter of credit

3. Smart email writing
Presented by
Lavesh Choudhary
Harsh Meena

7. Main components of e-mail
1.Subject line
2.Salutation
3.Introduction
4.Body
5.Closing

8. Subject line
The first thing, any reader reads in their inbox is the subject line. If the subject line is
misleading or improper, your emails may not be opened, or considered unimportant.
But be careful of making your subject line too long.
Note that the first subject line is properly informative and complete. The informal
subject line just barely touches on the topic which was sent to someone you know
well.

9. Salutation
The salutation straightforwardly addresses the person you’re sending the email to. It’s always used
specifically informal email messages but sometimes skipped in informal messages
If you’re sending the email to a group, it’s easier to address the entire group rather than every individual
here’s an example:
Dear Students,
If you know the person’s name you want to send the email too, it’s better to use their name along with
any title the person has. Here’s a sample formal salutation for an individual:
Dear Professor Josh

10. Introduction
The opening of a formal email sometimes requires the sender to introduce
themselves. In contrast, informal emails which are sent to someone you
know, the introduction isn’t needed.
Below is an example of an opening in a formal email:
My name is Laura Smith. I am the Human recourse Office of XYZ
Company. This message is for new employees

11. Body
The body of a formal email normally elaborates the purpose of the email.
The body consists of detailed information, so it’s important to write
clearly and concisely in a formal email. Remember your reader may not be
familiar with you or with your topic. You wouldn’t like your email recipient to
misunderstand any important point.
Make sure you use a punctuation checker like Grammarlookup.com to
improve your overall text.

12. Closing
How you end a formal email is similarly important, because the email closing is the last thing
your recipient looks at, your email closing may leave a lasting impression. A good formal
email closing furthermore reminds the reader who you are since it should include your full
name, contact information, and title (if appropriate).
Here’s an example of a formal email closing:
Sincerely,
Laura Smith
Officer HR, XYZ office
[Email address goes here]
[Phone number goes here]

13. Things to be kept in mind while writing an E-mail
Be Precise
While communicating through email, its important be specific what you’re
talking about. For example, if you’re emailing to your business partners, it not
worthy to write something like ‘I need this task done by tomorrow for the
client’. Although nine times out of ten they may be familiar with what you’re
talking about, why risk the miscommunication?

14. Optimize Your Subject Line
Like you receive countless emails every
day, so does everyone else. To make your
email stand out and fit for purpose chose
the words for your subject line wisely.
Imagine if you receive an email with no
subject line or a subject line that seems
irrelevant, what do you do with it? Most of
the people will agree that, if you don’t know
who the email is from, you’ll just delete it.
This is particularly important if you’re
contacting new businesses in the hopes of
starting a partnership or trying to generate
business leads.

15. Use polite language and be to the point
Remember the “Cs” of conciseness and courtesy?
Formal communication should be polite and
impersonal.
Always make a rough draft of your email and read it
putting yourself in the position of the reader. Are you
sounding polite and courteous? Are you conveying all
the necessary details? Is your communication to the
point? Are you sounding sincere?
So better plan your emails before you initiate to
write any mail

16. Edit & Proofread
This goes for any structure of written work but is still an aspect
that is overlooked time and time again. Edit and proofread your
message and make sure it makes sense and is grammatically
correct. That includes spelling, sentence structure and punctuation
a well-written, perfect email tells a lot about you as a person and
as a business.

17. Be careful with word count
Be concise. Keep in mind that everyone
receives and read hundreds of emails
every day.
. If your message is really long (for
example, notes about a report) consider
sending it as an attachment.

18. Subject: Extension on Report Deadline
Dear Mr./Ms. {Recipient’s sir name},
I am writing this to request you for an extension on the XYZ project report which is
due on {date}. My mother has taken ill unexpectedly, and I must leave for home
tonight. I’m afraid it will take me a week before I can return to the office and
complete the report.
Kindly grant me an extension till {date} for the same. I promise to deliver the project
report by then.
Sincerely,
{Your name}
{Phone number}
Sample of an Email

19. Collection letter
Presented by:-
Manish Kumar
Anshul Ahirwar

20. What is collection letter?

21. Collection Letter
A collection letter is a written notification to inform a consumer of his due
payments. It is an official message to a borrower. A collection letter may
include reminders, inquiries, warnings or notification of possible legal
actions. Although a collection letter is a firm notice to a borrower, it must be
written in a polite way. One should not use slang, offensive, and abusive
words.

22. Types of collection letters
A collection letter is broadly classified into three categories. They are
1.General Reminders.
2.Inquiry letters.
3.Official collections letters.

23. Collection letters are usually written in a
series and the typical stages are as
follows:
1.Reminders ;
2.Inquiry and discussion;
3.Appeal and urgency;
4.Demand and warning.

24. ReminderCollectionLetter
It is written with an assumption that customer forgets to make
the payment. General assumptions like money problems or medical
issues are made. Always use a friendly manner to write it.

25. InquiryCollectionLetter
As the name suggests, the main purpose of this type of letter is to make an inquiry.
The writer wants to inquire about the reasons for the delay of the payments. Here,
the writer asks for the keenness to help the customer. One can give the choice of
partial payments here. It helps to maintain a good relationship with the customer.

26. AppealcollectionLetter
A writer writes this letter when the borrower is not responding to any of the
previous remainders. Here, the writer uses an aggressive approach without
being rude. One needs to maintain fairness.

27. UltimatumCollectionLetter
Here the writer mentions the action which can be taken in
case of failure of payment of the loan. One uses the logical
and fair statements. Various punishments like debarring
from further business, legal actions are stated in this letter.

28. Do’s Don’ts
Make use of positive appeal
in the letter.
Make use of offensive
language.
Have good knowledge
about the collection policies
and laws.
Harass the debtor.
Be a little flexible.
Start the letter as you
doubt the honesty and
capacity of the debtor.
Try to build up your
goodwill.

29. How to write a remindercollectionletter?
This is the first letter in a collection series.
It should contain a short message to
gently remind the customer that payment
is past due. The message could be attached
to the bottom of a billing statement and
could acknowledge that payment may
have already been made.

30. sample
of
reminder
collection
letter

31. Howtowriteinquirycollectionletter?
The First Inquiry Letter
Make a request for prompt payment, and add your willingness to help the
customer by offering new terms for repayment.
The Second Inquiry Letter
Use positive wording, but state firmly that the customer will pay a
penalty for continued nonpayment, such as a late fee, a collection fee, or
interest on the amount owed.

32. Dear Mrs. Jones,
We are writing again because we have not received your payment due for invoice #02234 nor have had
any reply to our letter that was sent to you on September 1st. Your account is currently 14 days past due,
and the total that you owe is $200.00.
As one of our valued customers, we would like to offer any help we can to make payment quickly in order to
avoid taking actions that could have a negative impact on your credit score and any credit limits with our
company in the future. If you are experiencing difficulties and cannot make the full payment, please call me
on 212-456-0789. I would be more than happy to speak with you and come up with a payment arrangement
that works for us both.
If you would like to set up a payment plan, please get in touch as soon as possible. Otherwise, payment of
$200.00 is expected to be made by September 15th, 2020. We can take payment over the phone using a
credit card, via bank transfer, or through our online payment website. I have also enclosed a self-addressed
stamped envelope to make it more convenient if you choose to pay by check.
We thank you in advance for your prompt reply to this letter and for your continued business.
Sincerely,
Katherine Gadsby
Garden Center of Queens
212-456-0789
Sample
of
inquiry
collection
letter?

33. How to Write the Appeal Collection Letter
If the customer fails to respond to any of the Reminder Collection Letters or to the Inquiry
Collection Letters, you must take a more aggressive approach.
1.Positive appeal approach: Try to appeal to the customer's sense of fairness, personal
pride, or his/her desire to maintain a good credit standing and its connected privileges.
2.Negative appeal approach: If the positive approach is ignored, inform the customer
that continued nonpayment could result in various penalties:
1. the loss of his/her good credit standing and its connected privileges
2. the initiation of legal action to reclaim any purchased goods; any services will be
discontinued
3. he/she may incur additional debt through collection fees and/or interest on the amount owed

34. Dear Mrs. Jones,
We have still not had contact from you regarding invoice #02234, which was
due on August 25th, 2020. We have also not had a reply to subsequent letters
that were sent to you on September 1st, September 8th, and September 15th,
nor to the numerous attempts we have made to email and call you. Your
account is now 21 days past due, and you owe a total of $200.00.
I regret to inform you that, unless we receive your payment in full by September
28th, 2020 or we hear from you to make a payment plan by that time, we will be
forced to have to send your invoice to our attorney or a collection agency to
obtain the debt owed.
We hope to hear from you before we have to take this action, which will
damage your credit score and any future relationship with our business. Please
contact us immediately at 212-456-0789 ext 15 so that we may settle this
matter.
Sincerely,
Katherine Gadsby
Garden Center of Queens
212-456-0789 ext 15
Sample
of
appeal
collection
letter

35. How to write ultimatum collection letter
Should the third letter not get the response you wanted, you know you have done all that you
are able at this point and need to move on to the fourth and final collection letter, also
referred to as the “Ultimatum” letter. The tone and language for this letter should remain
professional yet assertive. You should also send the fourth letter via certified mail as proof
that it was received. If no attempt to make payment by the third letter has been made, it
more than likely means the debtor is trying to avoid payment. The fourth letter should include
the same details as the other letters.

36. Mrs. Jones,
This is our FINAL NOTICE. We have made many attempts
to contact you in regards to invoice #02234 for the amount
of $200.00, and you have been offered ample time and
assistance to pay this bill. Your account is now 28 days
overdue, and we need to hear from you by September
22nd, or we will be passing the bill over to Arrow
Collection Agency.
We expect payment in full by September 22nd, 2020, or
we will have no choice to take legal action to get this dent
paid.
Sincerely,
Katherine Gadsby
Garden Center of Queens
212-456-0789 ext 15
Sample
of
ultimatum
collection
letter?

38. Letter of credit
Presented by:-
Nitin Meena
Harsh Meena

39. Agenda
What is letter of credit ?
Entities of letter of credit.
Mechanism in letter of credit.
Types of letter of credit
Advantages in LOC.
Risks involved in LOC.

40. Definition of Letter of Credit
A letter of credit is a document from a bank or a financial institution on the buyer’s
behalf that assures the payment to the seller. The bank needs to have certain
documents in possession before it issues the LC. This letter is as good as a
guarantee to the seller that the payment will be cleared even if the buyer fails to do
so. The risk of non-payment shifts from the seller to the bank. Generally, the entire
process also involves another bank that works as an advisor to the seller. The
issuing bank authorizes the advisory bank to pay the seller.

41. Entities of a Letter of Credit
Firstly, let us understand the basic entities which are involved in a letter of credit.
•Applicant – The entity who applies for the letter of credit. This is usually the buyer i.e. the
importer
•Beneficiary – The entity for whom the letter of credit is issued. On completion of the
transaction, the beneficiary receives the payment. This is normally the seller i.e. the
exporter
•Issuing Bank – This is the bank that issues the letter of credit. This is usually a bank whose
branch is located in the applicant’s home country.
•Advising Bank – This is the bank that advises the beneficiary throughout the process of the
letter of credit.
•Confirming Bank – This entity is involved only when a letter of credit is a confirmed letter of
credit. This is the bank who gives additional confirmation of fulfilment of obligation over and
above the guarantee by issuing bank.

42. Mechanism of letter of credit

43. Mechanism of letter of credit

47. Following is the process of a documentary letter of credit:
A buyer from France decides to buy goods of USD 5000.00 from a seller in Malaysia by
documentary letter of credit. The buyer asks his bank i.e. the issuing bank to issue a letter of
credit in the name of the seller.
•Issuing bank issues a documentary letter of credit in the name of the seller and keeps the seller’s
bank as advising bank.
•Seller manufactures and ships the goods to the buyer and prepares all the documents.
•The seller submits the documents to the advising bank, who checks the documents for
discrepancies, and if no discrepancies are found, they send the documents to the issuing bank.

48. •Issuing bank checks the documents and if found satisfactory, intimates the buyer of the
same.
•The buyer makes complete payment of USD 5000.00 plus the bank charges to the issuing
bank. After receiving the payment, the issuing bank gives the documents to the buyer.
•The buyer clears the goods from the shipping line through these documents.
•The issuing bank transfers full payment of USD 5000.00 to the advising bank.
•Advising bank deducts its own service charge and transfers the remaining payment to the
seller.

49. Revocable and irrevocable letter of credit
The revocable letter of credit can be withdrawn by the opener (importer) or opening bank
(importer’s bank) at any time. Withdrawal can be effected without notice to the exporter.
Revocable letter of credit, therefore, does not sufficiently protect the interest of the exporter in
getting his payment.
The irrevocable letter of credit is just the opposite of revocable letter of credit. The irrevocable
letter of credit cannot be withdrawn without prior permission and intimation of the exporter.
Through irrevocable letter of credit, the opening bank gives definite guarantee to exporter
ensuring payment of exports. However, conditions specified in the letter of credit should be
satisfied by the exporter. Generally, exporter prefers irrevocable letter of credit as it protects the
exporter.
Types of Letter of Credit

50. Advantages of letters of credit
Advantages for sellers
•By asking for an appropriate letter of credit a seller is reassured that providing they present
documents in order and within an agreed timeframe they will receive their money in full and on time.
•A letter of credit is one of the most secure methods of payment for exporters as long as they meet all
the terms and conditions.
•The risk of non-payment is transferred from the seller to the bank (or banks).
Advantages for buyers
•When a buyer uses a letter of credit they get a guarantee that the seller will honour their side of the
deal and provide documentary proof of this.

51. Disadvantages of letters of credit
•It's important to be aware of the additional costs involved in using a letter of credit. Banks make
charges for providing them, so it's sensible to weigh up the costs against the security benefits.
•If you're an exporter you should be aware that you'll only receive payment if you keep to the strict
terms of the letter of credit. You'll need to give documentary proof that you have supplied exactly
what you contracted to supply.
•Using a letter of credit can sometimes cause delays and other administrative problems.