Collection Costs

During the process of debt collection, the collection agency pays the costs incurred in advance. These costs are added to the debtor's liabilities. The amounts are decided by law or official rate lists. Even though a claim is cancelled because of a change in taxation, the debtor must always pay the costs incurred during its collection. The costs are added to the claim when a District Commissioner or a District Court receives a petition for collection measures.

The costs incurred by attachment and forced sale are estimated in ratio with the amount of the debt, although they do have a minimum and a maximum.

Costs incurred because of a payment request

Promulgation by Process Server/the Icelandic Postal Service

A petition for a permission to execute legally filed at the District Court

15,000 ISK

A petition made to a District Commissioner for an attachment

1% of the amount of the liabilities, at least 5,900 ISK and max 19,900 ISK

A petition for the forced sale of a real estate

1% of the amount of the liabilities, at least 17,100 ISK and max 58,000 ISK

A petition for the forced sale of liquid assets

1% of the amount of the liabilities, at least 5,900 ISK and max 19,100 ISK

Costs incurred due to a petition for bankruptcy

15,000 ISK

Bear in mind that the amounts above may have changed. The updated rates can be found in these rate lists:

Rates for services of the Courts

Rates for services of the District Commissioners

Last updated may 2016

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