Late payment
If your business has provided goods or services to a customer (in accordance with the terms of the commercial contract) and you haven't received their payment by the agreed deadline, you are entitled to receive interest and compensation on the payment you're owed.
This applies to all your commercial transactions with other businesses (including sole traders, providing that they are acting in the course of their independent economic or professional activity) and public authorities.
Warning
These rules and those in the following steps do not apply:- in the case of insolvency proceedings (including proceedings aimed at debt restructuring)
- to compensation payments for damages (for example by insurance companies)
Go directly to the interest calculator to see how much you are owed or choose your situation below.
I am owed money by
Another business owes me money
- My business is based in an EU country and I am owed money from a business operating in the same country as me
- My business is based in an EU country and I am owed money from a business operating in a different EU country than me.
A public authority owes me money
- My business is based in an EU country and I am owed money from a public authority operating in the same country as me.
- My business is based in an EU country and I am owed money from a public authority operating in a different EU country than me.
A consumer owes me money
You can't claim late payment interest in transactions with consumers. If you have an issue with a consumer the above rules do not apply. For more information on issues with consumers, see:
My business is based in an EU country (In this case, the 27 EU member states) and I am owed money from a business operating in the same country as me.
If you have fulfilled your contractual and legal obligations and the client is responsible for the delay (that is, it is not due to circumstances beyond their control) you are entitled to claim interest for late payment and compensation for recovery costs.
When is interest due?
The interest is due from the day following the due date fixed in the contract.
If you haven't fixed a payment period in the contract, interest becomes automatically payable 30 calendar days after the client receives your invoice or payment request.
If you don't know when the invoice was received, you can claim interest 30 calendar days after you delivered your service and/or products.
If you send the invoice to your client before you deliver your service and/or product, the countdown starts only after delivery.
How much interest should be added?
You can charge the interest rate for late payment as agreed in the contract. If no rate was agreed, the statutory rate applies.
Statutory interest rates per country
| EU country | 1 January 2023 – 30 June 2023 |
| Austria | 11.08 |
| Belgium | 10.50 |
| Bulgaria | 10.00 |
| Croatia | 10.50 |
| Cyprus | 10.50 |
| Czechia | 15.00 |
| Denmark | 9.90 |
| Estonia | 10.50 |
| Finland | 10.50 |
| France | 12.50 |
| Germany | 10.62 |
| Greece | 10.50 |
| Hungary | 21.00 |
| Ireland | 10.50 |
| Italy | 10.50 |
| Latvia | 10.50 |
| Lithuania | 10.50 |
| Luxembourg | 10.50 |
| Malta | 10.50 |
| Netherlands | 12.00 |
| Poland (health sector) | 14.75 |
| Poland (other public sector) | 16.75 |
| Portugal | 10.50 |
| Romania | 15.00 |
| Slovakia | 10.50 |
| Slovenia | 10.50 |
| Spain | 10.50 |
| Sweden | 11.00 |
Use our calculator to find out how much interest you're entitled to claim.
Compensation for recovery costs
In addition to the interest due, you are entitled to claim a flat rate compensation fee of EUR 40 (or equivalent) for each invoice paid late (in certain EU countries the amount may be higher, calculated according to the value of the invoice).
If the costs you have incurred in recovering your debt exceed this value, additional reasonable compensation can be claimed (i.e. administrative costs, debt collection fees or costs to instruct a lawyer).
VAT
You charge interest on the gross amount of the debt (including VAT), but you do not pay VAT on the interest.
How to recover your debt
- Send an invoice to your customer including Interest and compensation fees.
- Contact a national body that may be able to help you recover your debt.
- Hire a debt collection agency.
- Obtain an enforceable title from a national court.
My business is based in an EU country (In this case, the 27 EU member states) and I am owed money from a business operating in a different EU country (In this case, the 27 EU member states + Iceland, Liechtenstein, Norway and Switzerland) than me.
Contracts are governed by the law chosen by the parties involved. You should therefore check which law governs your contract.
If no specific choice was made when you signed the contract, the late payment rules are governed by the law of the country where creditor has his habitual residence.
This rule is the same for both the sale of goods and the provision of services.
Warning
If your contract is governed by the laws of non-EU countries, the following rules might not apply.
If you have fulfilled your contractual and legal obligations and the client is responsible for the delay (that is, it is not due to circumstances beyond their control) you are entitled to claim interest for late payment and compensation for recovery costs.
When is interest due?
The interest is due from the day following the due date fixed in the contract.
If you haven't fixed a payment period in the contract, interest becomes automatically payable 30 calendar days after the client receives your invoice or payment request.
If you don't know when the invoice was received, you can claim interest 30 calendar days after you delivered your service and/or products.
If you send the invoice to your client before you deliver your service and/or product, the countdown starts only after delivery.
How much interest should be added?
You can charge the interest rate for late payment as agreed in the contract. If no rate was agreed, the statutory rate applies.
Statutory interest rates per country
| EU country | 1 January 2023 – 30 June 2023 |
| Austria | 11.08 |
| Belgium | 10.50 |
| Bulgaria | 10.00 |
| Croatia | 10.50 |
| Cyprus | 10.50 |
| Czechia | 15.00 |
| Denmark | 9.90 |
| Estonia | 10.50 |
| Finland | 10.50 |
| France | 12.50 |
| Germany | 10.62 |
| Greece | 10.50 |
| Hungary | 21.00 |
| Ireland | 10.50 |
| Italy | 10.50 |
| Latvia | 10.50 |
| Lithuania | 10.50 |
| Luxembourg | 10.50 |
| Malta | 10.50 |
| Netherlands | 12.00 |
| Poland (health sector) | 14.75 |
| Poland (other public sector) | 16.75 |
| Portugal | 10.50 |
| Romania | 15.00 |
| Slovakia | 10.50 |
| Slovenia | 10.50 |
| Spain | 10.50 |
| Sweden | 11.00 |
Use our calculator to find out how much interest you're entitled to claim.
Compensation for recovery costs
In addition to the interest due, you are entitled to claim a flat rate compensation fee of EUR 40 (or equivalent) for each invoice paid late (in certain EU countries the amount may be higher, calculated according to the value of the invoice).
If the costs you have incurred in recovering your debt exceed this value, additional reasonable compensation can be claimed (i.e. administrative costs, debt collection fees or costs to instruct a lawyer).
How to recover your debt
- Send an invoice to your customer including Interest and compensation fees.
- Contact a local Enterprise Europe Network partner.
- Consult the Guide to cross-border credit and claims management.
- Check whether one of the EU regulations for cross-border debt recovery could apply in your case.
- Hire a debt collection agency.
My business is based in an EU country (In this case, the 27 EU member states) and I am owed money from a public authority operating in the same country as me.
If you have fulfilled your contractual and legal obligations and the client is responsible for the delay (that is, it is not due to circumstances beyond their control) you are entitled to claim interest for late payment and compensation for recovery costs.
When is interest due?
The interest is due from the day following the due date fixed in the contract.
If you haven't fixed a payment period in the contract, interest becomes automatically payable 30 calendar days after the client receives your invoice or payment request.
If you don't know when the invoice was received, you can claim interest 30 calendar days after you delivered your service and/or products.
If you send the invoice to your client before you deliver your service and/or product, the countdown starts only after delivery.
How much interest should be added?
You can charge the interest at the statutory rate.
Statutory interest rates per country
| EU country | 1 January 2023 – 30 June 2023 |
| Austria | 11.08 |
| Belgium | 10.50 |
| Bulgaria | 10.00 |
| Croatia | 10.50 |
| Cyprus | 10.50 |
| Czechia | 15.00 |
| Denmark | 9.90 |
| Estonia | 10.50 |
| Finland | 10.50 |
| France | 12.50 |
| Germany | 10.62 |
| Greece | 10.50 |
| Hungary | 21.00 |
| Ireland | 10.50 |
| Italy | 10.50 |
| Latvia | 10.50 |
| Lithuania | 10.50 |
| Luxembourg | 10.50 |
| Malta | 10.50 |
| Netherlands | 12.00 |
| Poland (health sector) | 14.75 |
| Poland (other public sector) | 16.75 |
| Portugal | 10.50 |
| Romania | 15.00 |
| Slovakia | 10.50 |
| Slovenia | 10.50 |
| Spain | 10.50 |
| Sweden | 11.00 |
Use our calculator to find out how much interest you're entitled to claim.
Compensation for recovery costs
In addition to the interest due, you are entitled to claim a flat rate compensation fee of EUR 40 (or equivalent) for each invoice paid late (in certain EU countries the amount may be higher, calculated according to the value of the invoice).
If the costs you have incurred in recovering your debt exceed this value, additional reasonable compensation can be claimed (i.e. administrative costs, debt collection fees or costs to instruct a lawyer).
How to recover your debt
- Send an invoice to your customer including interest and compensation fees.
- Contact a national ombudsman or a national judge.
N.B. If payments from a public authority are systematically late, you can also submit an official complaint to the European Commission.
My business is based in an EU country (In this case, the 27 EU member states) and I am owed money from a public authority operating in a different EU country (In this case, the 27 EU member states + Iceland, Liechtenstein, Norway and Switzerland) than me.
Contracts are governed by the law chosen by the parties involved. You should therefore check which law governs your contract.
If you have fulfilled your contractual and legal obligations and the client is responsible for the delay (that is, it is not due to circumstances beyond their control) you are entitled to claim interest for late payment and compensation for recovery costs.
When is interest due?
The interest is due from the day following the due date fixed in the contract.
If you haven't fixed a payment period in the contract, interest becomes automatically payable 30 calendar days after the client receives your invoice or payment request.
If you don't know when the invoice was received, you can claim interest 30 calendar days after you delivered your service and/or products.
If you send the invoice to your client before you deliver your service and/or product, the countdown starts only after delivery.
How much interest should be added?
You can charge the interest at the statutory rate.
Statutory interest rates per country
| EU country | 1 January 2023 – 30 June 2023 |
| Austria | 11.08 |
| Belgium | 10.50 |
| Bulgaria | 10.00 |
| Croatia | 10.50 |
| Cyprus | 10.50 |
| Czechia | 15.00 |
| Denmark | 9.90 |
| Estonia | 10.50 |
| Finland | 10.50 |
| France | 12.50 |
| Germany | 10.62 |
| Greece | 10.50 |
| Hungary | 21.00 |
| Ireland | 10.50 |
| Italy | 10.50 |
| Latvia | 10.50 |
| Lithuania | 10.50 |
| Luxembourg | 10.50 |
| Malta | 10.50 |
| Netherlands | 12.00 |
| Poland (health sector) | 14.75 |
| Poland (other public sector) | 16.75 |
| Portugal | 10.50 |
| Romania | 15.00 |
| Slovakia | 10.50 |
| Slovenia | 10.50 |
| Spain | 10.50 |
| Sweden | 11.00 |
Use our calculator to find out how much interest you're entitled to claim.
Compensation for recovery costs
In addition to the interest due, you are entitled to claim a flat rate compensation fee of EUR 40 (or equivalent) for each invoice paid late (in certain EU countries the amount may be higher, calculated according to the value of the invoice).
If the costs you have incurred in recovering your debt exceed this value, additional reasonable compensation can be claimed (i.e. administrative costs, debt collection fees or costs to instruct a lawyer).
How to recover your debt
- Send an invoice to your customer including interest and compensation fees.
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Contact Solvit
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N.B. If payments from a public authority are systematically late, you can also submit an official complaint to the European Commission.