Claims management includes all activities that creditors or other parties acting on their behalf (for example, specialised claims management companies) perform in order to collect a debt. During the claims management process, the debtors' ability and willingness to pay are assessed, instalment agreements are concluded if necessary, and the claims are collected using methods made available by law, without resorting to legal procedures. The advantage of debt collection procedures is that they allow debtors to reach an agreement with their creditors, meaning that the costly fees of a legal procedure can be avoided.

The claims management company will try to contact the debtor by mail, phone or in person in order to settle the debt as soon as possible. In the course of its activities, it always tries to find the most favourable solution for the parties in order to resolve the case. It fulfils its obligation to cooperate by providing objective and professional information, and concluding agreements on payment facilitation and/or payment in instalments.

Your creditor owns the debt you owe to them. This means they can decide whether to manage their receivables themselves or have someone do it for them. They can also decide to assign their claim to a third party, which becomes entitled to collect the claim.

The claims management company is entitled to process personal data based on several laws. First, if the data subject consents to it, secondly, even if the data subject does not consent but the law (for example: Paragraph a) of Section 157(9) of Act C of 2003 allows it, thirdly, if this is necessary for the purpose of asserting the legitimate interest of a third party, also regardless of whether consent is given (see: Section 5(1) and Section 6(1) of Act CXII of 2011). The claims management company processes personal data with the permission and consent of the National Authority for Data Protection and Freedom of Information.

You can receive a payment notice if you have an overdue debt. In the payment notice, the creditor reminds the debtor that they have a payment obligation based on the legal relationship between the parties, which the debtor failed to fulfil within the prescribed payment period. In the letter, the creditor also informs you about the legal consequences of non-payment.

Anyone can have financial difficulties, through no fault of their own. In these cases it is important not to sweep the problem under the rug, and to act immediately. The key to the solution is your cooperation. It is extremely important to contact the claims manager as soon as possible to get a clear picture of the legal title and amount of the outstanding debt. This also gives you a chance to find out about your options for settling the debt as soon as possible, and to report any objections or payment difficulties, and to find the best solution for you.

You can settle your debt in a lump sum, or in instalments based on a separate agreement, either with the creditor or with the claims management company. You can make your payment in cash at customer service, by cheque using the cash transfer order attached to the payment notice, or by bank transfer. However, we would like to draw your attention to the fact that if you pay in instalments, failure to pay a single instalment will result in the entire outstanding debt becoming immediately due. In order to avoid this, you should always strictly abide by the terms of the instalment agreement.

If you fail to pay the debt, the creditor has the right to impose various sanctions for breach of contract (for example, by blocking outgoing calls or turning off heating). If this is unsuccessful, the creditor will ultimately be entitled to terminate the contract with immediate effect, which legally makes the entire debt due immediately. If you fail to pay your debt during the claims management stage, the creditor is entitled to enforce their claim through legal proceedings, including through government enforcement.

Creditors most often initiate order for payment procedures against debtors via a notary public. If the debtor does not dispute the claim in the order for payment by the deadline, it becomes legally binding and, like court judgments, can be enforced by the state. If legal procedures are used, your debt may increase significantly because, depending on the success of the procedure, you may have to pay procedural fees, default interest and attorney's fees. During the execution procedure, the executor can, among other things, block your regular income, collect on your bank account, seize your car and the movables in your home, and ultimately sell your property at auction. Liquidation proceedings are also often initiated against business entities. Liquidation will be ordered by a court of jurisdiction if it establishes the debtor’s insolvency. The representatives of business entities should be aware that once the liquidation proceedings have been concluded, the court of registration will terminate the company and delete it from the companies’ registry.

If you have already settled your debt, please send us a copy of the payment receipt or transfer certificate to one of the contact details provided in our letter. Don’t forget to include the reference number. Please also provide your telephone contact information so that we can inform you about the developments of the case if necessary. For other questions concerning the debt, you can contact our collection centre by phone. Our experts are ready to help you.