Bank attachment: attaching your debtor's bank account

What is bank attachment?

Bank attachment is a specific form of third-party attachment that allows you, as a creditor, to directly attach the bank balance of your debtor. Since the bank manages your customer's funds, it acts as the 'third-party garnishee' in this process. For you as an entrepreneur, this is a powerful tool to ensure that outstanding claims do not vanish from the account while you wait for payment. Before getting started, it is helpful to understand the general framework of attachment and how it works.

How does bank attachment work in practice?

When a bailiff attaches assets under the bank on your behalf, the bank receives a formal order immediately. From that moment, the account is 'frozen': the debtor can no longer make payments, and direct debits are stopped. The bank is required to disclose the exact balance at the time of attachment upon the bailiff's request. This process is often highly effective because the debtor is immediately confronted with the blockage of their liquid assets. If the third party fails to cooperate, you may need to take further legal steps to enforce your claim.

Precautionary or executory bank attachment?

You can attach assets in two ways. A precautionary (conservatory) attachment is filed before a lawsuit to prevent your debtor from moving assets away. If you already have a court judgment, we refer to it as executory attachment, where the bank must eventually transfer the frozen funds to you. If an opposing party contests the attachment, you may need to defend its validity in court.

Which assets are protected?

Not every amount in an account is subject to attachment. For individuals, for example, there is an attachment-exempt amount intended to cover basic living needs. For entrepreneurs, this is more complex because business accounts generally fall entirely under the attachment. However, be aware that attaching assets must always be proportionate; otherwise, you risk a claim for wrongful or vexatious attachment.

What are the risks of wrongful bank attachment?

Bank attachment is a drastic measure that can immediately halt your debtor's business continuity. If it turns out that you have attached assets wrongfully, for instance because the claim was incorrect or the attachment was unnecessarily severe, you are liable for damages. Understanding the risks of third-party attachment is essential here. This can lead to significant claims, especially if the debtor's business operations were brought to a standstill. Therefore, always be certain of your case before proceeding with this measure.

Points of attention at a glance

• Always verify that the debtor actually banks with the institution in question.
• Keep in mind the costs for the bailiff and legal assistance.
• Ensure a sound substantiation of your claim to avoid wrongful attachment.
• Consider the impact on the business relationship; bank attachment is often a definitive breaking point.
• Assess whether there are other assets if a bank attachment provides insufficient coverage.
• Act quickly, as debtors may drain their accounts once they become suspicious.

What should you do now?

Atsuchment is a technically complex legal process where you must not only organize the attachment itself correctly but also strictly monitor the associated deadlines. Therefore, engage a specialized litigation lawyer at an early stage. This prevents procedural errors and ensures that your attachment is both effective and legally sound.