THE FIRST BANK OF CHICAGO

1160 State Street

Chicago

Illinois 60688

14 February 19XX

Mr Milton Smedley

Credit Department

Standard Electric Corporation

2120 Oak Terrace

Lake Bluff Illinois 60044

Dear Mr Smedley

We are happy to send you, in confidence, the credit information you requested concerning Mr Bruce Kretchmer, owner of Kretchmer’s Appliance Store.

Mr Kretchmer, who was appliance department supervisor at Lillian’s Department Store until last fall, has had personal checking and savings accounts with us for the past ten years. His accounts were always in order, with adequate balances to cover all checks drawn.

His appliance store, at 1135 State Street, was opened last December. For this undertaking, he borrowed $8,000 from this bank and has begun making regular payments against the loan. We are unaware of any further outstanding debts he may have.

On the basis of our experience with him, we believe Mr Kretchmer to be credit-worthy.

Yours truly

THE FIRST BANK OF CHICAGO

Peggy Sawyer

Branch Manager

CREDIT-GRANTING LETTERS

When all credit letters are favorable, a letter is sent granting credit to the customer. Whether for a consumer charge account or a dealer open account, the acceptance letter should:

• approve the credit

• welcome the customer and express appreciation

• explain the credit terms and privileges

• establish goodwill and encourage the sales.

STANDARD ELECTRIC CORPORATION

2120 Oak Terrace

Lake Bluff

Illinois 60044

18 February 19XX

Mr Bruce Kretchmer

Kretchmer’s Appliance Store

1135 State Street

Chicago Illinois 60688

Dear Mr Kretchmer

It is my pleasure to welcome you as a SEC credit customer, for your request for credit has been approved.

Your first order, for 6 Model 18E toasters, will be ready for shipment on Monday, February 22.

On the first of each month, we will prepare a statement of the previous monthly purchases. Your payment is due in full on the 10^th. With each statement you will also receive a supply of order forms and return envelopes.

We are delighted that SEC can be a part of your store’s beginnings and look forward to serving you for many years to come.

Sincerely yours

Milton Smedley

Credit Department

CREDIT-REFUSING LETTERS

Sometimes, of course, credit must be denied. A letter refusing credit must give the customer a reason, which, however, may be expressed vaguely for purposes of tact and protection of references.

The credit-refusal letter must also try to encourage business on a cash basis; the tone, therefore, must be positive and in some way ‘you-oriented’. In addition it is a good idea to suggest that the customer reapply for credit in the future, thereby letting him know that you nevertheless desire and appreciate his business.

HANS & MEYER’S

1010 Broadway

New York NY 10033

10 August 19XX

Mr Donald Cortland

20-67 Kissena Blvd

Queens NY 11203

Dear Mr Cortland

Thank you for your recent application for a Hans & Meyer charge account. However, we believe it would not be in your best interest to grant you a credit at this time.

An impartial credit investigation indicates that your present financial obligations are substantial. We fear that adding to those obligations could jeopardize your sound credit standing in the community.

Of course, Mr Cortland, you are always welcome to shop at Hans & Meyer’s, where we will try our best to serve you in anyway possible. And if, in the future, your obligations should be reduced, feel free to apply again for a charge account. We shall be delighted to reconsider.

Cordially yours