Debt recovery under a promissory note

A receipt is not just a ‘piece of paper’, but a fully-fledged loan agreement (Articles 1046–1047 of the Civil Code). For the court, it is sufficient for it to contain: the parties’ details, the amount, proof that the funds were transferred, and the borrower’s signature. Notarisation is not required, nor are witnesses.

The problem is almost never one of evidence. The problem is time: people wait for years ‘so as not to spoil relations’, and only come forward when the limitation period has expired or the debtor no longer has any assets.

Recovering a debt under a promissory note involves more than just the principal amount of the loan. The law allows you to claim 3 per cent per annum and inflation-related losses for the entire period of default (Article 625 of the Civil Code) — even if the promissory note makes no mention of them.

+38 095 554-54-24 — legal advice

What must be included in the promissory note

The minimum requirements for the court to recognise the debt:

• who lent and who received — full name, passport details, tax identification number, addresses;
• the amount — in figures and words;
• proof of transfer of funds — the wording ‘received’, not ‘I undertake to accept’;
• date of issue;
• borrower’s signature — in their own handwriting.

Preferred but not mandatory: repayment date, interest rate, penalties for late payment.

The most common fatal mistake — wording that does not make it clear that the money has actually been transferred. A receipt stating ‘I undertake to repay’ without the word ‘received’ gives the debtor scope to claim that they never saw the funds.

If there is no repayment deadline in the receipt — the debt must be repaid within 30 days of the claim being made. Therefore, the first step is a written demand — and it is from this that the 30-day period begins.

What can be recovered

1. The principal amount of the debt — the sum stated in the receipt.
2. Interest on the use of funds. If the promissory note makes no mention of this, and the amount exceeds 100 non-taxable minimum incomes, interest is calculated at the NBU’s base rate (Article 1048 of the Civil Code).
3. Penalty interest — if provided for; if not — twice the NBU discount rate (Article 549(3) of the Civil Code).
4. 3 per cent per annum and inflation losses (Article 625 of the Civil Code) — for the entire period of default, regardless of the terms of the receipt.
5. Legal costs — court fees and lawyers’ fees are recoverable from the debtor if the claim is successful.

For large sums and several years of arrears, points 2–4 significantly alter the final figure. These must be calculated before filing the claim: it is more difficult to increase the claim afterwards.

Two ways to recover a debt

Court order — 5 days

The quickest route, which most people are unaware of. Conditions: the debt is confirmed by a written instrument (a promissory note is acceptable), there is no dispute as to the right, and the amount does not exceed 100 subsistence minimums — in 2026, this is 332,800 UAH (Article 161 of the Code of Civil Procedure).

• consideration — 5 days, without a hearing and without summoning the parties;
• court fee — 332.80 UAH instead of 1% of the amount;
• the order is immediately an enforceable document.

To be fair, there is a limitation: the debtor has 15 days to file an application to set aside the order, and the court sets it aside almost automatically. Therefore, the order is effective where the debtor does not dispute the debt but is simply stalling for time. If the order is set aside, the fee paid is credited towards the court fee for the claim.

Claim

When the debtor disputes the debt, claims they ‘signed under duress’, or the amount exceeds the limit for summary proceedings. The processing time is 2–6 months.
Court fee — 1 per cent of the claim value (from 1,331.20 to 16,640 UAH for individuals in 2026).

Typical objections raised by debtors — and how to deal with them

‘I signed the receipt under duress’. It is up to the debtor to prove that pressure was exerted. A mere verbal claim will not be accepted by the court; reports to the police, witnesses and expert evidence are required.

“I didn’t receive any money; it’s just a formality.” Here, the wording of the IOU is decisive. The word “received” settles the matter; its absence is the main vulnerability.

“I’ve already paid it all back.” It is up to the debtor to prove repayment — via the creditor’s receipt or bank statements. Verbal assertions are not sufficient.

“That’s not my signature.” A handwriting analysis will be ordered. If the signature is genuine, the costs of the analysis are borne by the debtor.

“The limitation period has expired.” The most dangerous defence. However, partial repayment of the debt or a written acknowledgement interrupts the limitation period, and the clock starts running again.

Limitation period: why 2026 is critical

The general limitation period is 3 years (Article 257 of the Civil Code). However, from 2 April 2020 to 3 September 2025, the limitation period did not expire — initially due to lockdown, then due to martial law. Law No. 4434-IX abolished this suspension, and from 4 September 2025 the clock started ticking again.

Practical conclusion: old IOUs from 2018–2021 now have a deadline again, and for some of them, this deadline falls as early as 2026–2027. If you have such an IOU, it is worth calculating the time limit now.

When you don’t need a solicitor

The debt is small, the receipt is in order, the debtor does not dispute it, and there is official income — file an application for a court order yourself. It costs 332.80 UAH and takes 5 days. That’s what we’ll say.

You need a solicitor when:

• the debtor disputes the debt or the signature;
• the IOU contains errors;
• there is no IOU at all — there are only bank transfers and correspondence;
• the amount is substantial, and a calculation error would be costly;
• the limitation period is about to expire or it is unclear from when to count it;
• the debtor is transferring assets;
• the order has been revoked, and a claim must be filed.

How we work

1. We analyse the receipt — will it stand up in court, and what are its weaknesses?
2. We calculate the total amount — debt, interest, penalty, 3 per cent per annum, and inflation adjustments.
3. We check the limitation period — for each amount separately.
4. We check the debtor’s assets — to see if there is anything from which to recover the debt. If not, we will inform you of this before filing a claim.
5. We select the procedure — a court order, a lawsuit or a claim.
6. We handle enforcement proceedings — seizure of accounts and assets, restrictions on travelling abroad.

Cost of services

Court fees (2026): 332.80 UAH — application for a court order; 1% of the claim value (from 1,331.20 to 16,640 UAH) — statement of claim. Filing via the ‘Electronic Court’ system — 20% discount.

Full price list · Debt recovery

Questions and answers (Debt recovery based on a promissory note)

Is a promissory note legally valid without a notary?

Yes. A promissory note is a loan agreement (Articles 1046–1047 of the Civil Code). Notarisation and witnesses are not required. The main thing is that the text clearly indicates that funds have been transferred.

What should I do if the promissory note does not specify a repayment date?

The debt must be repaid within 30 days of the date on which a written demand is served. Therefore, the first step is to issue the demand — the 30-day period begins from that date.

How much does it cost to recover a debt under a promissory note?

Application for a court order — 332.80 UAH. Claim — 1% of the claim value (from 1,331.20 to 16,640 UAH for individuals in 2026). If the case is won, the fee is recovered from the debtor.

Which is quicker — a court order or a claim?

Court order: 5 days, inexpensive, and immediately enforceable. However, the debtor can have it set aside within 15 days. A claim takes longer (2–6 months), but the outcome is more secure.

The debtor claims they signed the IOU under duress. What should you do?

It is up to them, not you, to prove the duress. The court does not accept unsubstantiated claims — you will need to report the matter to the police, provide witnesses and obtain an expert report.

How long is a promissory note valid for?

The limitation period is 3 years. However, the clock was paused from 2 April 2020 to 3 September 2025, and resumed on 4 September 2025. A partial repayment of the debt interrupts the limitation period — it starts running again from scratch.

Can a debt be recovered if there is no receipt?

Yes, if there are bank transfers with a payment reference, correspondence (including via messaging apps), witnesses or partial repayments. However, a court order is not available in such cases – only a claim.

I’ve won the case, but the debtor isn’t paying. What next?

Enforcement proceedings: tracing bank accounts and assets, seizure, and a temporary restriction on travelling abroad. In practice, the latter is one of the most effective measures.

What documents should I bring to the consultation?

The original promissory note, evidence of the transfer of funds (bank statements, receipts), correspondence with the debtor, documents regarding partial repayments, and anything you know about their assets.

Contact a solicitor regarding debt recovery under a promissory note with the firm ‘Svarog’

Send us a photo of the IOU — we’ll tell you whether it will stand up in court, calculate the total amount including interest (3 per cent per annum plus inflation), check the limitation period and select the appropriate procedure. And we’ll be honest with you: if there’s nothing to recover from the debtor, it’s better to hear this before paying the court fee.

+38 095 554-54-24 · Kyiv, 7 Khoriva Street (Podil) · Mon–Fri 9:00–18:00