Payment remark

A payment remark is a note, remark or registration in an open or closed debt register, such as RKI or Debitor Register.

A payment remark is used to inform other creditors that a debtor has an unpaid balance with a creditor.

In Denmark, companies, debt collection agencies and lawyers can register their debtors, or customers' debtors, in a debt register.

Payment remarks are typically used in connection with debt collection, and in practice, it is estimated that lawyers and debt collection companies are responsible for most registrations in debt registers.

In Denmark, both companies and private individuals can be registered in a debt register.

In layman's terms, a payment remark is the registration of a debtor as a bad payer.

Requirements, law and rules for payment remarks

A company may report a debtor to a debt register such as RKI when three written reminders have been sent.

The third and final reminder must clearly notify the debtor that a registration will be made in one or more debt registers.

It is a requirement that the amount is greater than DKK 200 and that no objection has been received from the customer.

Special rules apply to public debt and debt owed to insurance companies and banks.

It will typically require a subscription or other customer relationship with RKI before a creditor can register a person or company in RKI.

How long are you on a debt register?

You are registered in a debt register until you pay your outstanding debt, but for a maximum of three years.

After three years, the registration expires and the debtor cannot be registered again for the same claim.

It's important to note that even if a registration becomes obsolete in the debt register, this does not mean that the debt to the company disappears. The company still has the option to pursue the claim if the statute of limitations is interrupted.

Read also: Statute of limitations for money claims

Are there consequences of being registered in a debt register?

Yes, being registered as a bad payer in a debt register can have major consequences.

Many companies carry out ongoing credit checks, including checking their customers against debt registers.

If you are registered in a debt register, you risk companies not wanting you as a customer, offering worse or no credit terms, or demanding cash payment.

A debtor should therefore always strive to avoid being registered as a bad payer. Should this happen, it is important to have the payment remark deleted as soon as possible.

Need help registering your customers in a debt register?

At Collectia, we help our customers every day with unpaid debt recovery and debt collection, and we also make use of payment remarks in this connection.

Contact us today to discuss how we can help your business with debt collection and payment reminders. We are always ready with professional sparring and advice on debt collection.