The first thing we do with any debt is — check the amount. We don’t ‘negotiate’ or ‘write it off’; instead, we work out how much of this sum the creditor could actually recover through the courts.
Very often it turns out that penalty charges have been applied in excess of the permitted limits, fees are unlawful, the statute of limitations has long since applied to some of the claims (for penalty charges — one year, not three), and the MFI has charged interest that isn’t even specified in its own contract.
A loan solicitor is not needed simply to ‘disappear from the bank’. They are needed to ensure you pay only what you are legally obliged to pay — and not a single hryvnia more.
+38 095 554-54-24 — legal advice
Areas of practice
If you have a debt
- Debt restructuring — a new repayment schedule, reduction of late payment charges, negotiations from a position of strength
- Personal bankruptcy — debt write-off, moratorium, suspension of enforcement proceedings
- Corporate bankruptcy
- Protection from debt collectors, challenging unlawful charges by microfinance organisations
- Protection for guarantors and security providers
If you owe a debt
- Debt recovery — claim, court order, lawsuit, enforcement proceedings
- Debt recovery under a promissory note
- Debt buy-out
What can almost always be deducted from the debt amount
This is the main value of an audit:
- penalties and fines older than one year — a shortened limitation period applies to them (Article 258 of the Civil Code);
- excessive liquidated damages — the court has the right to reduce them if they are disproportionately high compared to the creditor’s losses (Article 551 of the Civil Code);
- unlawful fees — for account maintenance, ‘monthly fees’ on the principal amount of the loan and similar charges; many of these are recognised by the courts as unfair terms in a contract;
- interest accrued after the expiry of the contract term, unless the contract provides otherwise;
- claims that are time-barred — 3 years for the principal amount of the debt, bearing in mind that, as of 4 September 2025, the limitation period resumed following the suspension due to the lockdown and the war;
- claims against a guarantor, if the guarantee has already ceased.
Debt collectors: what is legal and what isn’t
Legal: sending reminders about the debt, issuing demands, taking legal action, purchasing the debt under an assignment agreement.
Illegal: making threats, phoning relatives, colleagues and employers, disclosing information about the debt to third parties, applying psychological pressure, visiting the debtor’s home uninvited, and posing as law enforcement officers.
Such actions should be documented (call recordings, screenshots, witnesses) and challenged — by lodging a complaint with the National Bank or filing a report with the police. This not only stops the pressure but also serves as a bargaining chip in negotiations regarding the amount of the debt.
We also check separately whether the debt has been legally transferred to debt collectors and whether you were notified of the assignment of the claim. Any breach here is grounds to contest the claim altogether.
What to choose: pay, restructure or declare bankruptcy
The straightforward logic we apply during consultations:
Pay — if the debt is small, the charges are lawful, and you have an income. Going to court is more expensive than paying.
Contest — if the total includes unlawful charges or the debt is time-barred. Sometimes, after a court case, the debt is halved.
Restructure — if you have an income but the repayment schedule is unmanageable. But first, an audit: restructuring an inflated amount means voluntarily acknowledging it.
Declare bankruptcy — if you objectively have no income to repay the debt. Remember: maintenance payments and compensation for health damage are never written off.
When you don’t need a solicitor
The debt is small, the charges are transparent, and you can pay — just pay. The cost of a solicitor will outweigh the benefit, and we’ll say so straight away.
You need a solicitor specialising in loans when:
- you do not understand what the debt consists of;
- the debt is with debt collectors or microfinance organisations;
- late payment charges and penalties make up a significant part of the total amount;
- the bank has filed a claim or enforcement proceedings have been initiated;
- your wages are being garnished, or your accounts have been frozen;
- you are a guarantor for someone else’s loan;
- the debt is not being repaid to you — and you need to recover it.
Cost of services
| Service | Price |
|---|---|
| Consultation | from 1,500 UAH |
| Legal opinion: debt audit and calculation of the actual amount | from 5,000 UAH |
| Negotiations with the creditor, restructuring, pre-litigation settlement | from 5,000 UAH |
| Preparation of a statement of claim, defence and procedural documents | from 5,000 UAH |
| Attendance at one court hearing | from 3,000 UAH |
| Court representation | from 10,000 UAH |
| Comprehensive ‘turnkey’ support for civil cases | from 25,000 UAH |
| Comprehensive support for commercial cases (bankruptcy of legal entities) | from 30,000 UAH |
| Support for enforcement proceedings | from 3,000 UAH |
| Cooperation without advance payment (payment based on results) | from 100,000 UAH |
Court fees (2026): 332.80 UAH — application for a court order; 1% of the claim value (1,331.20 – 16,640 UAH) — property claim by a natural person; 1,331.20 UAH — application for the bankruptcy of a natural person.
Questions and answers (Loan solicitor)
Is it possible to legally reduce the amount of debt?
Yes. Penalty interest older than one year, excessive liquidated damages (which the court reduces), unlawful fees, and claims that are time-barred are waived. Following an audit, the amount is often reduced by a third or more.
Is it legal for debt collectors to ring relatives?
No. This is a breach of the law: disclosure of information about the debt to third parties and psychological pressure. Record the calls and lodge a complaint with the National Bank and file a report with the police.
What should I do if my bank account has been frozen and my wages are being garnished?
Check the legality of the enforcement proceedings, the amount of deductions (the law limits the proportion that can be deducted) and whether there are any assets that are exempt from seizure. Often, the attachment is lifted or reduced.
Will the debt be written off in the event of bankruptcy?
In most cases, yes. However, maintenance payments and compensation for harm to life and health are never written off. Debts concealed from the court will also not be written off.
How long does a debt remain valid?
The limitation period is 3 years for the principal debt and 1 year for interest and penalties. The limitation period was suspended from 2 April 2020 to 3 September 2025, and then resumed.
I am a guarantor. Do I have to pay?
Not always. A guarantee has its own grounds for termination, and very often guarantors are held liable for obligations from which they are already legally released. This needs to be checked on a case-by-case basis.
Is it possible not to pay an MFI?
You cannot simply refuse to pay, but you can pay only the lawful amount. MFIs’ charges contain the most irregularities, and in court the creditor must prove every hryvnia.
I’m not being repaid my debt. What should I do?
A court order (5 days, 332.80 UAH) or a claim — depending on the amount and whether there is a dispute. Next comes enforcement proceedings, involving the freezing of accounts and restrictions on the debtor’s ability to travel abroad.
What documents should I bring to the consultation?
The loan agreement with annexes, the repayment schedule, a statement of debt, demands from debt collectors, court documents, and enforcement proceedings documents.
Consulting a lawyer regarding loans from ‘Svarog’
Send us your loan agreement and statement of debt — we will calculate how much of this amount the creditor could realistically recover in court, and advise you on the most advantageous course of action for you: to pay, to contest the debt, to restructure the debt or to file for bankruptcy.
+38 095 554-54-24 · Kyiv, 7 Khoriva St, Office 2 (Podil) · Mon–Fri 9:00–18:00