Reminder Fees in Switzerland | Magic Heidi

Switzerland has no general statutory reminder-fee tariff. An amount is not payable simply because it looks reasonable or appears on a reminder. Check for an effective contractual basis or the requirements for proven additional loss caused by default.

Separate reminder fees, default interest and damages

• Default interest: Generally 5% a year from default under Article 104 CO, without proof of a specific loss.
• Contractual reminder charge: Must be effectively agreed and withstand legal scrutiny of its content. A later invoice note does not replace agreement.
• Additional loss caused by default: Article 106 CO concerns proven loss not already covered by default interest. The debtor can avoid liability by proving absence of fault. An itemised list of your own working time is not automatically sufficient.

Article 105 CO is not a general basis for reminder fees; it addresses particular interest questions. Swiss courts have not pre-approved a universal CHF 10.00–40.00 range for each escalation stage.

When does default start?

Under Article 102 CO, a reminder after the debt falls due is generally necessary. Where a fixed deadline was agreed, default can arise without another reminder. A date added unilaterally to the invoice does not automatically qualify.

A friendly payment request can itself be a legal reminder if it clearly demands the due payment. Content matters, not the heading or whether a fee is charged. See payment terms and default interest.

Set terms for future contracts

Explain clearly in your quotation or contract terms which amount may be charged and under what conditions. Make the terms available before contracting and ensure they are incorporated into the agreement. For consumers and unusual or high charges, obtain professional advice on validity.

No safe standard amount: CHF 15.00 or CHF 20.00 is not a recommendation or statutory entitlement here. Assess your actual process and avoid disproportionate or duplicate charges. An agreement alone does not make any amount enforceable.

Without an effective fee agreement, do not simply add a tariff after the event. Assess a specific loss under Article 106 separately or leave out the disputed flat charge.

A practical reminder process — not a statutory duty

1. Check before sending: Is the invoice correct and due? Has payment arrived, a complaint been raised or a new agreement been made?
2. Remind politely: Identify the invoice and balance, reattach it, give a specific payment date and provide contact details. A fee-free first message is a business choice.
3. Follow up deliberately: If payment does not arrive, send a clear demand. Only include fees with a checked basis and interest with a justified start date and calculation.
4. Weigh further steps: A conversation, instalment plan or debt enforcement. There is no duty to send three reminders, and a complete reminder chain does not establish entitlement to payment.

Intervals depend on the agreement, circumstances and deadlines. Document content and receipt; “email sent” does not automatically prove delivery to the recipient.

VAT: reminder charges are not default interest

Default interest is treated as compensation for loss, not consideration (Article 18 paragraph 2 letter i of the VAT Act). Under FTA practice, reminder charges relating to the supply form part of the consideration and follow that supply's tax treatment. Not every reminder fee carries 8.1% VAT: consider VAT registration, the principal supply, the rate and any mixed supplies.

Entirely fictional calculation: Assume an effectively agreed reminder fee of CHF 15.00 net, a VAT-registered supplier and a principal supply taxable at the standard rate. CHF 15.00 × 8.1% = CHF 1.215, rounded to CHF 1.22 VAT; the gross fee is CHF 16.22. With an unpaid invoice of CHF 3,200.00, the outstanding total is CHF 3,216.22. The calculation does not prove that the fee is legally valid.

If CHF 15.00 was agreed including 8.1% VAT, it comprises CHF 13.88 net and CHF 1.12 VAT, not another CHF 1.22 on top. Match the presentation to the agreement and accounting treatment.

A payment-demand template without unchecked extra fees

Subject: Payment demand for invoice [number]

Dear [Name]
Our invoice [number] dated [date] for CHF [amount]
is due and remains unpaid after checking payments received.
Please transfer CHF [outstanding balance] by [date].
The invoice and payment details are attached again.
If you have already paid or dispute the invoice,
please contact us with the relevant details.

Kind regards
[Name / business]

If you add justified fees or interest, show them separately with their basis, tax rate or interest period. Do not silently change the original service invoice or charge VAT again on its already-taxed total.

If the customer deducts fees or disputes the invoice

First check what was paid and what is disputed. Payment of the principal does not automatically acknowledge every additional fee. Provide the contractual basis and calculation, then weigh the effort of enforcement. Previous lateness alone does not justify unilaterally increasing your tariff.

For complaints, assess contractual claims, counter-rights and whether payment is due. Not every invoice error automatically creates a right to withhold payment; a formally correct invoice does not eliminate a justified defect claim either.

A collection agency or software cannot make an unfounded fee valid. Check automated text, amounts, sending and dispute handling yourself. This guide does not promise native automatic fee calculation or VAT filing by Magic Heidi.

Frequently asked questions

Must the first reminder be free?

There is no general statutory escalation rule. A fee-free first message is often a sensible business choice; any fee claim needs a sound basis.

Can I claim both fees and interest?

Possibly, but not double compensation for the same loss. Assess contractual charges, statutory interest and additional loss separately.

Must I send three reminders before debt enforcement?

No. Check whether the debt is due, default, contractual conditions and costs. A payment order does not establish the underlying claim's validity.

A reminder alone does not interrupt limitation; see the invoice limitation guide.

Sources

• Articles 102–106 CO on Fedlex.
• VAT Act, Articles 18 and 24.
• FTA VAT practice publications: VAT Info 04, distinction between default interest and reminder charges.

General information, not individual legal or tax advice.