Polish bailiffs get new online system to seize funds directly from debtor accounts

Starting from September 8, e-executions and electronic distraints of bank accounts will be possible in Poland. Bailiffs will therefore act faster and more efficiently. Ways to escape the take-overs will also be limited.

Until now a dishonest debtor could stall for time. When someone learned that a bailiff wanted to take over his house or apartment, he could quickly sell the property or donate it to a family member. It was an obvious loophole for people to cheat and keep the property anyway.

E-auctions

Since July 1, instead of submitting an application to the court for entering a subject to the Land Register and initiate the execution, the bailiff can do it in person. The execution will thus start immediately, cutting down debtor’s room for manoeuvre. Further changes are to take effect from September 8. The first one is e-auctioning of movables. Auctions will be carried out electronically via a computerised communication system, which is being prepared by a National Council of Judicial Officers. The system will be free to use.

Another amendment includes electronic distraint of bank accounts. Currently, in order to take over a debtor’s account, the bailiff has to submit a request to the bank by mail or a courier. However, before the request reaches the bank, the debtor has time to clear the account completely. Starting from September 8, the whole procedure will be carried out electronically and the debtor will therefore have no time to escape the due payment.

All the changes aim at improving the bailiffs’ efficiency and are taking effect on 8th September 2016.

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