Glossary

Assets are all the property and valuables owned by a defaulting payer that can be used to pay off debts. This includes money, real estate, vehicles, and other valuable items.

The due date is the deadline by which a debt or payment must be settled. After this date, the payment is considered overdue.

A debt is a monetary or other obligation that one person (the defaulting payer) owes to another person (the creditor). It must be repaid or otherwise settled.

A defaulting payer is a natural or legal person who has a financial or other obligation towards a creditor, i.e. must repay a debt.

This is a postal item for which the sender receives confirmation of dispatch and delivery. It is often used for important communication, such as pre-litigation notices.

Debt enforcement is a legally regulated process of compulsory execution of a judgment when a defaulting payer fails to voluntarily fulfill their obligation. It is carried out by a bailiff on the basis of an enforceable title.

It is an official document (e.g., a final and enforceable court judgment, a payment order, or a notarial deed) that entitles the creditor to request the compulsory enforcement (execution) of the debt.

A bailiff is a person appointed and authorized by the state to enforce court orders. He or she acts impartially and independently.

The principal is the original amount of money that was borrowed, or the main part of a debt, excluding interest and other fees.

A legally prescribed procedure in which the defaulting payer’s assets are liquidated to satisfy creditors’ claims. Any remaining debts (not covered by the defaulting payer’s assets) are subsequently discharged.

This refers to the process of attempting to recover a debt without resorting to legal proceedings. It involves communication, reminders, and efforts to reach an agreement with the defaulting payer.

This occurs when a defaulting payer consistently fails to meet their payment obligations over an extended period. It may lead to legal proceedings and subsequent enforcement.

An overdue payment occurs if the defaulting payer does not pay the debt by the agreed due date. It is usually associated with late payment interest.

Liabilities represent all the obligations and debts that a defaulting payer owes to others. These obligations must be repaid.

This is a simplified and expedited court proceeding for the collection of undisputed monetary debts. The court issues a payment order, which the defaulting payer may contest by filing an objection.

This is a key condition for debt relief, meaning that the defaulting payer has no intention of defrauding creditors and is striving to resolve their debts honestly and within the limits of their abilities and means. Compliance is monitored for a period of six years following debt relief.

A claim is the right of a creditor to demand the fulfillment of a certain obligation from the defaulting payer, most often the payment of a monetary amount.

This is the transfer of the right to collect a debt from the original creditor to a third party (e.g., a collection agency). The new creditor then collects the debt.

This is a formal written notice to the defaulting payer that if the debt is not paid within a specified period, the creditor will file a lawsuit in court.

This is the statutory period during which a creditor may successfully enforce their right in court. Once this period has expired, the defaulting payer may invoke the statute of limitations, rendering the debt unenforceable in court.

Finality means that a court decision or payment order has become final and binding. No ordinary appeals may be filed against it.

A public registry maintained by the Ministry of Justice of the Slovak Republic, which contains information on all bankruptcy and restructuring proceedings.

This is an official court decision issued after the completion of legal proceedings. If it becomes legally final, it can serve as an enforcement title.

This figure expresses the total cost of a consumer loan to the consumer as an annual percentage. It includes interest and all fees associated with the loan.

A guarantor is a person who agrees to be responsible for another person's debt if the defaulting payer defaults on payments.

This is an agreement or plan that specifies how a debt will be repaid in regular, smaller installments over a certain period of time.

A natural or legal person registered in the Slovak Ministry of Justice’s registry. In bankruptcy proceedings, the court appoints the trustee to administer and liquidate the defaulting payer’s assets. In the case of a repayment schedule, the trustee ensures compliance with the plan.

A statutory fee paid to the state for court services. The amount depends on the type of proceeding and the value of the dispute.

This is the process of debt collection through legal proceedings if out-of-court attempts have failed. It results in the issuance of an enforcement order.

Interest is the cost of borrowing money or the reward for using it. It is expressed as a percentage of the principal.

This is a financial penalty that a defaulting payer pays if they fail to pay the debt on time (after the due date). The amount is set by law or by contract.

A central database containing information on the credit obligations of natural and legal entities to banks and non-bank entities.

A creditor is a natural or legal person to whom the defaulting payer owes money or other performance, and who has the right to collect that debt.

These are written or other forms of communication from a creditor or collection agency requesting that the defaulting payer pay the outstanding debt.

It is a legal form of debt security in which the defaulting payer provides their property (e.g., real estate) as collateral. If the debt is not repaid, the creditor may satisfy their claim from this property.

A method in which the debt is repaid by directly deducting a portion of the defaulting payer’s wages. The law specifies the minimum portion of wages that cannot be garnished.

A legal proceeding filed with a court in which a natural or legal person seeks protection of their infringed or threatened right against another person.