An invoice going unpaid doesn’t mean you won’t get paid — it usually means someone in your client’s accounts payable department missed it, or it’s queued behind an approval. A structured follow-up sequence resolves most cases without conflict and without needing a lawyer.
Before you write anything
Check the basics first. Has the payment deadline actually passed? Some invoices are NET 30 and it genuinely hasn’t been 30 days. Was the invoice sent to the right address or procurement portal? Is the company name on the invoice exactly right — some AP departments reject invoices where the legal entity name doesn’t match their purchase order exactly. Did it land in spam?
If everything checks out and the deadline has passed, start the sequence.
Step 1: Friendly payment reminder (day 1–3 after due date)
Keep it short and assumption-free. Most late payments at this stage are accidental.
Subject: Invoice #2026-042 — payment due [date]
Hi [name], I’m following up on invoice #2026-042 for [amount], which was due on [date]. Please let me know if you need anything from me to process it — bank details are in the original PDF.
Most invoices get paid after this one message. Give it 5–7 business days before escalating.
Step 2: Formal payment demand (7–14 days after first reminder)
This is now a formal document. State a firm deadline and mention your entitlement to late payment interest. The tone shifts — this should be in writing, not a chat message.
Dear [legal entity name],
This is a formal payment demand for invoice #2026-042 (issued [date], due [date]) for [amount]. Payment is now [X] days overdue.
Please transfer the outstanding amount to [IBAN, BIC] by [firm date — 7 days from now].
Under applicable law, I am entitled to late payment interest from the due date. I have not applied this to the current demand but reserve the right to do so.
If you have already transferred the amount, please disregard this notice.
Step 3: Escalation
If the formal demand goes unanswered, you have three practical options:
Debt collection agency (Inkasso) — for amounts under ~€5,000, this is usually the most cost-effective path. The agency takes a percentage of what it recovers. Most debtors pay when they hear from a collection agency because they know the cost will increase.
German payment order (Mahnbescheid) — you can apply for a court-issued payment order online at mahnportal.de. The court fee is roughly 1–2% of the claim. If the debtor doesn’t file an objection within two weeks, you receive an enforceable title and can instruct a bailiff.
Lawyer — for amounts above ~€5,000, a debt recovery lawyer is worth the cost. German solicitors typically charge 1–2% of the claim for straightforward debt recovery, and those costs can be passed to the debtor under §286 BGB.
What you can claim beyond the invoice amount
For B2B transactions in Germany and the EU, you’re entitled to:
- Statutory late payment interest: 9 percentage points above the current base rate from the first day after the due date (§288 BGB)
- A flat €40 recovery fee per overdue invoice (§288 Abs. 5 BGB)
- Reasonable collection costs if you used an agency or lawyer
These apply automatically — they don’t need to be in your contract or mentioned on the invoice.
How long you have to claim
The general statute of limitations in Germany is 3 years (§195 BGB), running from the end of the calendar year in which the claim arose. An invoice issued any time in 2026 expires at the end of 31 December 2029.
In Billino
Every Billino invoice is a Factur-X / ZUGFeRD PDF with your full bank details embedded. To follow up, attach the original PDF to your reminder — the client has everything they need to pay without asking you for anything else.
