Total amount you are owed or seeking
Our Recommendation
Why this option?
For claims between $1,000 and $12,500, small claims court or an attorney demand letter offer the best combination of affordability and success rate.
| Factor | DIY | Attorney | Small Claims |
|---|
Is a demand letter worth the cost?
In most cases, yes. A well-crafted demand letter often resolves disputes without needing to go to court. Even a DIY letter shows you are serious about pursuing your claim and gives the other party a chance to settle before litigation costs escalate for both sides.
When should I hire an attorney instead of filing in small claims?
Consider hiring an attorney when your claim exceeds the small claims limit, involves complex legal issues (employment law, insurance bad faith), or when the other side has an attorney. An attorney demand letter also carries more weight and may lead to faster settlement.
Can I send a demand letter before filing in small claims court?
Absolutely, and it is often recommended. Many small claims courts actually encourage or require that you attempt to resolve the dispute before filing. A demand letter creates a paper trail and shows the judge you tried to settle first.
What is the success rate of demand letters?
DIY demand letters have roughly a 30% success rate, while attorney-drafted letters achieve around 65% resolution. The difference comes from legal precision, professional tone, and the implied threat of litigation from someone who can follow through.