When a debt is submitted to the Kronofogden in Sweden to be collected, a specific procedure follows. Here are the main steps:
Application for payment order
The creditor (the person who has a claim) starts the process by applying for a payment order with the Bailiff. The application can be made online via Kronofogden’s e-services or by submitting a written application. The application must contain:
- Information about the creditor and the debtor (the person who owes money)
- The basis for the claim (for example, an unpaid invoice or a loan)
- The amount required including interest and any fees
Service
When the application has been received, the Kronofogden sends a letter of service to the debtor. Service means that the debtor is formally informed of the claim and given the opportunity to dispute or pay the debt. The debtor usually has 10 days to respond.
Debtor’s response
The debtor can react to the service in different ways:
- Pay the debt: If the debtor pays the entire debt including interest and fees, the case is closed.
- Disputing the debt: If the debtor disputes the debt, the case can be submitted to the district court for examination. The district court then decides whether the debt is valid or not.
- Do not respond: If the debtor does not respond within the specified time, the Bailiff issues a decision establishing the debt.
Verdict
If the debtor does not dispute the debt or does not respond at all, the Bailiff issues a ruling that establishes that the debt is valid and that the debtor is obliged to pay.
Execution
If the debt is not paid after the decision has been issued, the creditor can request that the Crown Enforcement Agency carry out enforcement. This means that the Enforcement Agency takes measures to collect the debt, such as:
- Garnishment of the debtor’s salary or other income
- Foreclosure of property (e.g. real estate, vehicles or bank assets)
End of case
The case is closed when the debt is paid in full or when there are no longer any possibilities to collect the debt. If the debt cannot be collected, the case is closed as insolvent.
It is important to note that if a debt goes to the Enforcement Agency, it can negatively affect the debtor’s credit rating and lead to payment notices that can make it more difficult to get loans or enter into contracts in the future.
Let Kredinor help in all phases of debt collection
We are your partner in all matters related to open receivables, up to legal actions if necessary. We handle the debt collection efficiently, reliably and in such a way that the customer relationship can still continue in the future – no matter whether your client is a consumer or business.
We offer at your service a modern and customer-friendly service that also includes active telephone collection. You can easily follow all actions taken and the status of assignments in real time. The reports you need, you will have easily and quickly.
Transparent operation, automated processes and modern systems make us a reliable and efficient partner that can produce a high-quality service even for large billing volumes.
We can flexibly agree on which part of the collection process you want to outsource. If necessary, we can also help with disputes, bankruptcy supervision and other special collection procedures. You can also use our international debt collection service in case the open receivables arise abroad.