How to Recover Debt in Spain as a Foreigner: Legal Options Explained

Unpaid debts are frustrating — especially when you’re outside the country. Whether you’re an expat, foreign investor, or company dealing with Spanish clients or tenants, Spain offers clear legal pathways to recover debt as a foreigner.

Here’s how the debt recovery process works in Spain and what legal tools are available to you.


💳 Who Can Recover Debt in Spain?

Anyone — including non-residents and foreign businesses — can recover debts through Spanish courts.

Common cases include:

  • Unpaid rent from Spanish tenants

  • Outstanding invoices from Spanish clients

  • Personal loans to individuals or businesses

  • Breach of contract damages

  • Construction or supplier disputes


🧾 Step-by-Step: Debt Recovery Process in Spain

1. Attempt an Amicable Settlement

Always try to resolve the matter outside court:

  • Contact the debtor directly

  • Send a formal payment demand (burofax or notarial requerimiento)

  • Offer a structured payment plan

➡️ This step is often required before litigation.


2. Monitorio Process (Fast-Track for Clear Debts)

Spain offers a simplified court procedure called Juicio Monitorio for debts that are:

  • Clearly documented (invoices, contracts, proof of delivery)

  • Not contested

  • Below €250,000 (usually)

📌 No court hearing required unless the debtor objects.

Process:

  • Submit evidence + ID + court form

  • If debtor doesn’t reply in 20 days ➝ court issues payment order

  • If debtor objects ➝ standard civil litigation begins


3. Ordinary Civil Litigation

If the debt is:

  • Disputed

  • Based on unclear or verbal agreements

  • Over €250,000 or involves complex legal matters

➡️ You’ll need to go through full civil litigation (see Article 1).


🧑‍⚖️ Can You Enforce Foreign Judgments?

Yes. If a court outside Spain ruled in your favor, you can often enforce that judgment in Spain, especially if:

  • It comes from an EU country (automatic recognition under Brussels I bis Regulation)

  • It’s from a country with a bilateral treaty with Spain

  • You complete an exequatur procedure for others

This lets you seize assets, freeze bank accounts, or garnish wages.


🏦 What Enforcement Tools Exist?

If the debtor still refuses to pay after a court order, you can request:

Tool Description
Bank account seizure Court orders Spanish banks to freeze funds
Property lien Place a charge on debtor’s real estate
Asset auction Seize and sell assets through judicial auction
Wage garnishment Deduct from debtor’s salary or pension

✅ These actions require a final judgment and enforcement order (título ejecutivo).


📑 Required Documents

To start a debt recovery action, you’ll need:

  • Valid identification or company certificate

  • Power of attorney for your lawyer

  • Copies of invoices, contracts, or delivery receipts

  • Sworn translations of foreign documents (if applicable)


💰 How Much Does It Cost?

Item Estimated Cost
Lawyer’s fees €800–€3,000+ depending on case
Court fees Varies; waived for individuals in many cases
Translation €30–€60/page (sworn translator)
Notary fees €100–€200 (for demand letter or authentication)

The loser may be ordered to pay costs, including your legal fees.


🌐 Language & Representation

Foreign creditors must appoint a Spanish abogado and a procurador (court liaison) for litigation. All court documents must be in Spanish.

📌 You can grant a power of attorney remotely via a notary in your country.


🤝 How Borderless Lawyers Helps Foreign Creditors

We assist individuals and businesses worldwide in recovering debts in Spain:

  • Drafting and sending formal payment demands

  • Initiating monitorio or civil claims

  • Representing you in court

  • Enforcing judgments against Spanish debtors

  • Advising on cross-border debt and asset recovery

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