Got a payment reminder or a debt collection letter? What it means and what you can do
A company or a debt collection agency demands money from you, often with extra costs.
How to recognise the letter
- The sender is a company or debt collection agency – not a court or authority.
- You are asked to pay by a date, often with reminder or collection costs.
- There are no instructions on legal remedies – the creditor sets the deadline.
Which deadline applies?
No statutory deadline.
No statutory deadline; the creditor sets it. Limitation as a rule three years (§ 195 BGB), counted from the end of the year in which the claim arose (§ 199 Abs. 1 BGB). Use the deadline in the letter.
What happens if you do nothing?
The creditor may apply to the court for a payment order (Mahnbescheid). From then on there are legal deadlines.
Your options
- Check whether you know the claim and whether it is right
- Ask for proof (contract, invoice, assignment)
- If correct: pay or ask for instalments
- Advice: Verbraucherzentrale, debt advice service
Who can help?
Inkasso check of the Verbraucherzentrale, debt advice service
Terms in this letter
Frequently asked questions
Do I have to pay a claim I don't recognise?
You can ask for proof: contract, invoice and – with debt collectors – the assignment or mandate. If in doubt, the consumer advice centre (Verbraucherzentrale) or a debt advice service can help.
When is a claim time-barred?
As a rule after three years (§ 195 BGB), counted from the end of the year in which it arose (§ 199 Abs. 1 BGB). There are exceptions; get advice if unsure.
Who can help me?
Inkasso check of the Verbraucherzentrale, debt advice service.
General information, not legal advice. Whether this decision is correct and what is right in your case is for an advice centre or a lawyer to say. Laws link to the official German text at gesetze-im-internet.de.