1. What is a payment default?
A payment default means that a person has failed to fulfill a financial obligation on time, such as not paying a loan installment or an invoice. Publishing debt information as a payment default allows the reporting party to inform other companies that the individual has an outstanding debt.
Read more: What is a payment default register?
2. How does a payment default occur?
A payment default occurs when a person fails to settle a financial obligation, such as an invoice or a loan installment, on time. If the payment is not received by the due date, the creditor sends reminders and, after 30 days, enters the information into the payment default register. The start date of the default is considered to be the date when the debt arose.
3. What is a payment default register?
A payment default register is a database that collects information about individuals and companies who have failed to fulfill their financial obligations on time. This includes, for example, overdue invoices, loan installments, or other financial liabilities.
4. For what purpose are payment defaults published?
Payment defaults are published to warn companies and lenders about clients who have previously had difficulties meeting their payment obligations on time. This helps assess credit risk and supports informed decisions on whether to grant a loan or enter into a contract.
Default information also helps prevent over-indebtedness by protecting individuals who may already have a high debt burden.
5. Under what conditions is a payment default published?
A payment default may be published only after at least 30 days have passed since the breach of obligation, meaning the date when the debt arose. Before publishing the default, the debtor must be notified about the intended publication of the payment default.
In the case of legal entities, meaning companies, there is no minimum duration of default or minimum amount required by law for publishing a payment default.
6. How can I find out whether I am listed in Krediidiregister’s payment default register or not?
If you or your company are added to the payment default register, a notification will be sent to your known email address.
You can view your personal data free of charge at https://taust.ee/app/my-taust/claims. You can log in using an ID card, Mobile-ID, or Smart-ID.
7. Who is entitled to add individuals to the payment default register?
An individual may be added to the payment default register by the party to whom the debt is owed, meaning the creditor, their authorized representative, or a party to whom the claim has later been assigned, such as a debt collection agency.
8. Is the debtor’s consent required to enter a payment default into the register?
The debtor’s consent is not required to enter a payment default into the register. The law permits the publication of such information because various parties, such as lenders, need it in order to make informed decisions.
9. I have paid the debt, but it is still displayed with a “resolved” status.
If you have settled the debt, the payment default will be displayed on the Taust.ee portal with the status “resolved,” together with the date of resolution.
In accordance with § 10(1)(5) of the Personal Data Protection Act, the information may be published for up to five years after the breach has ended. The five year period begins from the date the debt was paid.
10. What should I do if I or my company has been added to Krediidiregister’s payment default register?
If you have an outstanding debt, you should either settle it or reach an agreement with the creditor, meaning the person or organization to whom the money is owed. Only the creditor has the authority to agree on repayment terms or to extend the payment deadline.
11. Who can see payment defaults?
Your payment defaults can only be viewed by individuals or organizations that have a legal right and a legitimate reason to access this information. Default data is protected by law to ensure it is used fairly and for its intended purpose.
For example, your payment defaults may be checked by banks, leasing companies, installment credit providers, companies with whom you wish to enter into a contract, or private individuals who rent out their property. This helps them determine whether you have previously had difficulties meeting payment obligations.
12. Who has viewed my payment defaults?
You can see who has viewed your payment defaults at the following address: https://taust.ee/app/my-taust/views .
13. The payment default information is incorrect. What can I do?
If you believe that a payment default has been published without justification or that the information is incorrect, you should dispute it. First, contact the creditor and clarify the circumstances. If the issue is not resolved, you may also submit a dispute directly to the payment default register.
14. The amount of the payment default is incorrect.
Information about the debt is entered into the payment default register by the creditor. Therefore, any questions regarding the accuracy of the amount should be addressed directly to the creditor.
The amount of the payment default may change if you have recently made a payment or if additional interest or late fees have been added.
15. I received a notification stating that I have an outstanding debt, but I have already paid the invoice.
Information about the debt is entered into the payment default register by the creditor. If you have already paid the invoice, it means that the information about the received payment had not yet reached the register at the time the notification was sent. The data in the Taust.ee portal is updated once the creditor has updated the information.
16. I need a payment extension.
If you wish to request a payment extension, we recommend contacting the creditor directly, meaning the party to whom you owe the debt. Only the creditor has the authority to reach an agreement with you regarding repayment and the extension of the payment deadline.
17. The claim has expired.
An expired claim is a claim that has arisen and has a legal basis, but for which a sufficient period of time has passed since it became enforceable.
If the claim has become time barred, the payment default status is changed to “expired.” This status will also be visible to individuals making inquiries in the future. Expiration is essentially treated as equivalent to the end of the breach of obligation. Information about the payment default may be published for up to five years from the end of the breach. The five year period begins from the date the expiration is applied.
18. What do the different statuses in the payment default register mean?
Published – the debt is unpaid and the payment default has been made public.
Expired – the claim is subject to limitation. The statutory time limit for enforcing the claim has passed, and it can no longer be legally recovered.
Hidden – the payment default has not yet been published. It is visible only to you and the creditor.
Resolved – the debt has been paid or the claim has become time barred.
Disputed – an objection has been submitted regarding the claim, and the assertions require verification, for example if the creditor has not provided explanations or supporting documents.
