Blocking accounts for debts – how to unblock a card

Blocking the accounts of an individual due to the presence of unfulfilled obligations to creditors is not uncommon today, because each of us can face the situation of not being able to repay a debt to a financial institution. This is usually an extremely stressful situation that needs to be resolved as soon as possible. However, in practice, not all citizens know why your card can be blocked and what is the process of restoring it. This shows the relevance of the chosen topic. Therefore, in this article we will consider why financial institutions block accounts for debts and how you can unblock the card.

Why has the blocking of accounts become widespread today?

After the Russian Federation carried out a full-scale invasion of Ukraine on February 24, 2022, the CMU adopted Order No. 198 dated March 2, 2022, which provided that individuals have the right to carry out any financial transactions during the period of martial law from accounts held by the state or a private executor was arrested under the condition that the amount of recovery under enforcement proceedings should not exceed UAH 100,000.

However, on April 11, 2023, the Verkhovna Rada adopted Law No. 3048-IX, which canceled the aforementioned order. According to its provisions, state and private executors must collect the debtor's funds, which are in his financial institutions, and banks, in turn, must block the accounts of debtors in accordance with the enforcement service.

This law entered into force on May 6, 2023. And from that moment, financial institutions started processing all the resolutions that came from state and private contractors earlier, and this, in turn, led to the blocking of many clients' accounts.

What to do if your card has been blocked?

If your card has been blocked, then most likely you have debt due to enforcement proceedings. However, in order to really make sure of this and then unlock the card, you need to perform a number of the following actions:

• Contact the financial institution where you have an open bank account. You can do this directly by personally appearing at the branch or by calling the bank's hotline, or by writing a letter to an e-mail. When applying, ask the bank to provide you with information about the reasons for blocking your account and an explanation of the actions required to unblock it;
• If enforcement proceedings were opened against you and the account was blocked based on it, you will need to provide the financial institution with a document on the closure of the enforcement proceedings, as well as a receipt for payment of the debt due to such proceedings;
• After providing the bank with the relevant documents, you can ask it to unblock your account.

If you have no debts or no enforcement proceedings have been opened against you, and the bank does not take any action at your request to unblock the card, then you can file a complaint with the National Bank of Ukraine regarding the bank's inaction.

In addition, in such a situation, be sure to check yourself with the "Unified Register of Debtors", where you will need to indicate your full name, date of birth, RNOCPP. After that, you will be able to make sure that there are no debts and enforcement proceedings opened against you.

If your bank account has been blocked for debts and you do not know how to unblock your card, then in this case you cannot do without the help of professional lawyers - the Prykhodko and Partners law firm.

Our specialists will advise you on all issues that will arise in the process of cooperation, as they have relevant experience and knowledge in the field of banking law. We guarantee the result. So don't delay and ask for help!