Automatic lifting of account freezes for debtors in Ukraine up 70%

Automatic lifting of account freezes for debtors in Ukraine up 70%
Automatic lifting of account freezes for debtors in Ukraine up 70%

In Ukraine, the implementation of a new digital tool has led to a significant increase in the number of enforcement proceedings in which freezes on bank accounts are lifted automatically. According to data published by Andrii Haiuchenko, Deputy Minister of Justice of Ukraine, this indicator has increased by almost 70%.

The official emphasised that the new mechanism, which came into force on 23 October 2026, provides for the automatic removal of an individual from the Unified Register of Debtors after the necessary conditions are met. This allows for avoiding delays associated with the manual processing of documents by enforcement officers.

Indicator dynamics before and after digitalisation

The Ministry of Justice conducted a comparative analysis of the efficiency of the enforcement proceedings system before and after the introduction of the automated mechanism.

On 15 October, when the new service was not yet operational, state and private enforcement officers manually lifted freezes on accounts in 1,378 proceedings. In all these cases, the restrictions were cancelled on the day the debt was settled.

After the launch of the digital tool, the number of such operations increased. On 29 October, the system automatically lifted freezes in 2,343 proceedings. The difference between these indicators is 965 proceedings, which corresponds to an increase of approximately 70%.

«Цифри підтверджують, що автоматизація дає конкретний результат. Людині більше не потрібно чекати, поки виконавець вручну опрацює документи після погашення боргу. Система робить це автоматично» ("The figures confirm that automation delivers a concrete result. A person no longer needs to wait for an enforcement officer to manually process documents after the debt is settled. The system does this automatically"), Andrii Haiuchenko noted.

According to the Deputy Minister, the main goal of the new mechanism is to ensure the prompt restoration of citizens' rights after they fulfil their financial obligations. «Для нас важливо, щоб виконання людиною своїх зобов'язань означало й оперативне відновлення її прав» ("It is important for us that a person's fulfilment of their obligations also means the prompt restoration of their rights"), he emphasised.

Principle of operation of the automatic mechanism

The new digital service, which has been in effect since 23 October 2026, allows for the automatic cancellation of bank account freezes after the full settlement of the debt. The system also removes the relevant information about the individual from the Unified Register of Debtors.

Previously, even after paying off the debt, a person could remain with frozen accounts for a certain period until the enforcement officer processed the documents and formalised the decision to cancel the restrictions. Now, in proceedings covered by the automatic mechanism, the system independently performs the necessary actions after confirming the settlement of the debt.

This means that a debtor does not need to separately apply to an enforcement officer solely to initiate the lifting of a freeze after fulfilling the conditions prescribed by law. At the same time, automation does not apply to all enforcement proceedings without exception. For its application, the requirements established by legislation must be met.

Who falls under the new rules

The automatic lifting of freezes applies to enforcement proceedings in which the amount of recovery does not exceed ten minimum wages. A mandatory condition is the full settlement of the debt. In this case, it is necessary to pay not only the principal amount of the debt but also all due payments within the scope of the proceedings, including the enforcement fee and expenses provided for by law.

After these conditions are met, the system automatically transmits the relevant information to banks to cancel the restrictions. Thus, the digital mechanism eliminates the need for manual document processing in cases where the law allows for the automatic completion of the relevant procedures.

Other changes for debtors

The automation of enforcement proceedings became part of legislative changes that came into force on 23 October 2026. They are provided for by Law No. 4833-IX, aimed at improving the procedures for the compulsory enforcement of decisions and the protection of citizens' property rights.

In addition to the automatic lifting of freezes, the legislative changes raised the threshold for the value of a single residence, to which recovery cannot be applied under the general rule. Previously, this threshold was 20 minimum wages; it has now been increased to 50. The relevant provisions are significant for debtors subject to the compulsory enforcement of decisions, as they determine additional restrictions on the application of recovery to their property.

As a reminder, on 24 October, the enforcement proceedings system for the first time automatically lifted a freeze on a debtor's accounts after the full settlement of the debt and removed them from the Unified Register of Debtors. According to Andrii Haiuchenko, at the time of publication, the system had already carried out 2,656 such operations. The new mechanism came into operation after Law No. 4833-IX entered into force and allowed for the cancellation of restrictions without an additional application by the debtor to the enforcement officer.

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