- The financial report, formerly known as the “oath of disclosure” and “affidavit”: If the bailiff asks you to provide a financial report, you should act.
- The essentials in brief:
- The financial report is a compulsory enforcement measure by the obligee, i.e. the person to whom you owe money.
- It is permissible if the creditor has a so-called “title” against you. Usually a writ of execution or a judgment from which you owe the creditor money.
- With the asset report, you give the creditor comprehensive information on whether and where he can seize something from you.
- If the bailiff wants a financial report from you, you have to submit it. If you do not do this or if you provide incorrect or incomplete information (regardless of whether it is willful or negligent), this is a criminal offense. In some cases, an arrest warrant can even be issued.
- Obtain a copy of the bailiff’s registration letter. You will need this later to delete completed entries.
SUBMIT ASSET INFORMATION
The bailiff usually gives you a 2-week deadline in writing to pay the claim and to prove payment to him. He has already set an appointment for the filing of the asset report in the event that you do not pay, and will usually welcome you to his office.
With the letter you will receive a multi-page form, the so-called list of assets. It includes questions about income, alimony, employers, cars, cash, accounts, endowment insurance, stocks, and much more.
The declaration of income often asks for spouses’ and children’s income. This does not mean that the obligations are the responsibility of wives and children. It’s just a matter of determining whether or not they have maintenance claims against you. This can later affect your seizure exemption limits.
AVOID ASSET INFORMATION?
If you can make credible at the appointment with the bailiff that you will pay the debt within 12 months, the bailiff can accept the corresponding installments and refrain from reporting the assets. Your creditor must, however, agree to this. This rarely happens in practice.
If you are more than 2 weeks in arrears with the payments, the agreement is void and you still have to submit the financial report.
JUST NOT GIVING AN ASSET REPORT?
Simply letting the appointment with the bailiff pass by is a bad idea: If you are absent without excuse, the creditor can apply for a warrant to be issued against you. This arrest warrant is not written out for a search. However, it enables the bailiff to have you picked up by the police and brought to you. If you then continue to refuse to provide information, you can be detained for up to 6 months. Therefore, If you cannot keep the appointment that the bailiff has given you, please contact him immediately. Tell him by fax, email or phone why you cannot come.
The bailiff will then give you a new date.
BUT BE CAREFUL: only postpone appointments if you have really good reasons for doing so and if in doubt you can substantiate them. The bailiff or the creditor does not have to accept a postponement because you have “something better” to do.
CONSEQUENCES OF THE FINANCIAL REPORT
The fact that you have submitted an asset report is stored electronically in the central debtor directory. The debtor register is kept in each federal state by a central enforcement court (district court).
The data will be deleted ex officio after 3 years – counting from the date of entry. The deletion takes place regardless of whether the claim has been paid.
Important: The creditors know your employer and your bank details through the asset information. You must expect a wage or account garnishment. If your current account is not yet managed as a garnishment protection account, apply to your bank to convert it into one. You can find everything about the seizure protection account in a detailed article with us.
HAVE THE ENTRY IN THE DEBTOR DIRECTORY DELETED EARLY
If you have paid the claim in full or if you have been waived, you can have the entries in the debtor register deleted early. To do this, you must prove to the central enforcement court that you have paid the claim or that you have been waived.
A mere installment payment agreement is not sufficient for early deletion, even if the creditor agrees to deletion.
IMPORTANT: Obtain a copy of the registration order letter from the sending bailiff. The central enforcement court is not aware of the creditor, the creditor’s representative, the file number or the title from which the enforcement took place. Just presenting proof of payment or a receipt is not enough. The court cannot assign the transactions without the bailiff’s letter of registration order.
There are no fees for early deletion.