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

19,000 ISK

A petition made to a District Commissioner for an attachment

1% of the amount of the liabilities, at least 8,000 ISK and max 25,500 ISK

A petition for the forced sale of a real estate

1% of the amount of the liabilities, at least 22,000 ISK and max 75,000 ISK

A petition for the forced sale of liquid assets

1% of the amount of the liabilities, at least 8,000 ISK and max 25,000 ISK

Costs incurred due to a petition for bankruptcy