The letter codes are determined as follows:

The first letter (letter 1), will be sent the first time a customer has a balance, that is 31 – 60 days past due. This is the friendly letter, reminding the customer there is an unpaid balance.

When the update (Dunning Letter Updt – Menu 4.4.1) is run again and the customer still has an overdue balance, the customer file will be updated and the customer will receive the second letter, (letter 2). Running the Dunning Letter Update again, any customer with a past-due balance and no payment history will receive the third letter, (letter 3). The Dunning letters (i.e. 1, 2, or 3) are not due date or period sensitive. In other words, if the update, menu 4.4.1, is run three times in one day, the past due customers’ letter code will change from a one to a two all in the same day.

Once the customer receives the third letter, the customer is flagged with an "*". The asterisk will print on the Dunning Letter Edit Report, Menu 4.4.2 and will display in Dunning Letter Customer Maintenance, Menu 4.4.3. The asterisk indicates that all three letters have been sent and the customer has been given several changes to clear the account.

Letter four and Letter five are also available to be sent, Letter four alerts the customer they are now on credit hold and Letter five is the final letter sent prior to sending an account to collections. To send a customer letter four or five, field 1, Menu 4.4.3, must be changed to 4 or 5 manually. The text for all letters may be modified or changed by using menu 4.4.5, Dunning Letter File Text Maintenance.