Late-Payment Interest in Czechia 2026: What You Can Claim on an Unpaid Invoice
If a client or debtor pays late, Czech law gives the creditor a right to default interest (úrok z prodlení) — even if the contract says nothing about it. For foreign freelancers and businesses in Czechia, this is a practical tool against unpaid invoices. The rate is set by Government Regulation No. 351/2013 Coll.
Protect payment in a Czech work contract
Set the scope, price and payment terms in a Czech PDF. The linked form interface is available only in Czech.
What default interest is
Default interest is a statutory sanction for paying a monetary debt late. Under § 1970 of the Civil Code, a creditor who met their own duties may claim it from a debtor in delay.
The right arises by law — it does not need to be in the contract. Interest accrues from the day after the due date for each day of delay, so a clear due date on the invoice matters.
How the amount is calculated
The annual rate equals the ČNB repo rate set for the first day of the half-year in which the delay began, plus 8 percentage points (Government Regulation No. 351/2013 Coll.).
Once fixed, the rate does not change for the whole delay. Formula: debt × annual rate × days of delay ÷ 365. Check the ČNB for the repo rate at the start of the delay.
Interest vs contractual penalty
Default interest comes from the law and concerns monetary debt; a contractual penalty must be agreed and can secure non-monetary duties too. Both can apply alongside each other.
Between businesses the interest rate can be agreed differently, but a consumer may not be given a rate lower than the statutory one.
Flat cost of recovery and enforcement
- For mutual obligations between businesses, a minimum flat compensation of CZK 1,200 per claim applies (Regulation No. 351/2013).
- Send a written reminder stating the debt and the accruing interest.
- An acknowledgment of debt with an instalment plan can make the next steps easier.
Freelance or business contracts where you want clear payment terms and a basis for default interest.
A disputed claim, defending against a demand, or court recovery of a larger amount.
Protect payment in a Czech work contract
The linked form interface is available only in Czech. Fill it in to generate a Czech PDF after payment.