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State-licensed debt collection institute § 118 GewO 1994 · GISA 32140156

Glossary · Austria and Germany

Reminder costs and charges

Reminder costs are expenses arising from a payment request. Businesses use several labels for them, including reminder fees or charges. A label on an invoice does not itself establish a right to reimbursement.

Engagement and acceptance are governed by the terms.

Distinguish the concepts

Your own expense and an amount recoverable from the debtor are separate. Internal administration time is not automatically recoverable at any chosen flat rate. Contractual charges also need assessment under applicable rules. External collection costs and a statutory late-payment lump sum are further categories that cannot simply be stacked without checking overlap.

Jurisdiction and scope

Austrian recovery of additional collection expenses requires, among other things, necessary and appropriate measures and a reasonable relationship to the claim. In Germany, assess the conditions for damages caused by default. In particular, a demand that first triggers default should not automatically be treated as an expense caused by an already existing default.

Illustrative business example

Your accounting system adds ten euros at every reminder stage. Before handover, check the actual expense, relevant agreement and whether default had already arisen. Keep principal and each additional item separate. An automated export does not prove that every amount is legally owed.

Common questions

Is there a universal fixed reminder charge?

No fixed entitlement follows just from sending a reminder. Jurisdiction, legal basis and expense matter.

What about the EUR 40 lump sum?

It is a separate statutory item for certain transactions. In particular, Germany’s offset against legal-recovery costs must be considered.

How should I document a charge?

Record reason, date, amount and basis. Distinguish actual expense from a contractual or statutory claim to reimbursement.

Sources and basis

Content reviewed on 23 September 2026. Procedural information and our contractual terms are separate foundations. The individual case remains decisive.

Your next step

Prepare your documents and use the existing registration. For questions about the scope of services, visit our contact page.

Received a letter as a debtor? Please go directly to the payment portal.