Definition and legal classification of installment payments for fines
Die Installment payments for fines refers to the option of settling a legally imposed fine not as a lump sum, but in several installments (rates). This payment relief is particularly intended to ease the financial burden for convicted individuals and to avoid substitute imprisonment. In German law, installment payment is regulated by statute and represents a relevant alternative to immediate enforcement.
Statutory foundations
German Criminal Code (StGB) and Code of Criminal Procedure (StPO)
The basis for installment payments of fines can be found in Section 42 StGB as well as in Section 459a StPO. Section 42 StGB makes it possible, under certain circumstances, to defer payment or to pay fines in installments. The Code of Criminal Procedure defines the competence for determining payment modalities.
Section 42 StGB: Installments and Deferral
According to Section 42 StGB, the court may permit the fine to be paid in specified amounts and intervals (installments) or to defer the payment if immediate payment would represent undue hardship.
Section 459a StPO: Decision on payment easements
Section 459a StPO regulates that the enforcement authority—generally the public prosecutor’s office—decides on payment relief once the judgment is final. The authority may approve deferred payment, payment by installments, or deferral.
Requirements for granting installment payments
To assess approval of an installment payment, in particular the financial capacity of the convicted person is taken into consideration.
Undue hardship
An undue hardship exists when immediate full payment of the fine would result in significant restrictions to the individual’s financial circumstances. Examples include low income, maintenance obligations, or unexpected financial burdens.
Application and duty of disclosure
Installment payments have to be applied for—either already within the judgment or subsequently at the competent enforcement authority. The convicted person must disclose their income and assets and, if necessary, provide corresponding proof, for example, payslips or bank statements.
Procedure for granting installment payments
Submitting the application
The application for installments can be made informally or using an appropriate form at the enforcement authority. Alternatively, the court may already rule on payment relief within the judgment.
Competence for examination and decision
After submission, the authority in particular examines:
- Financial situation of the applicant
- Reasonableness of immediate payment
- Reasonable amount and duration of installments
The decision is made by administrative order and may be issued with secondary conditions (e.g., revocation reservation).
Deadlines and payment schedules
If installment payment is approved, the authority sets the payment deadlines and installment amounts. Regularly, monthly payments are scheduled, which must be set so that the fine can be paid in full within a reasonable timeframe.
Legal consequences in case of inability to pay or breach of payment conditions
Revocation of payment relief
If the convicted person does not comply with the approved payment modalities, the payment relief can be revoked. As a result, the remaining fine becomes due for immediate enforcement.
Substitute imprisonment
If the fine cannot be paid even after revocation, the public prosecutor orders substitute imprisonment in accordance with Section 43 StGB. For every unpaid daily unit, a day of imprisonment must be served.
Subsequent changes and reopening
If the financial situation changes, a new application may be submitted to adjust the installments or defer payment. The authority will again examine the requirements.
Legal remedies against denied installment payment
Appeals procedure
Against the rejection of an application for installment payment, the remedy of complaint is available. The legal basis for this is found in Section 459g (2) StPO. The responsible court decides on the complaint.
Installment payments for fines in the European context
Comparable regulations exist abroad in Europe. In many countries, it is possible to pay fines by installments if an immediate payment would cause significant hardship to the individual concerned.
Summary and practical significance
Paying fines in installments is a key mechanism for avoiding substitute imprisonment and for upholding proportionality in the enforcement of fines. The statutory provisions safeguard the state’s interest in consistent enforcement and at the same time enable individual solutions for those unable to pay. The regulations offer protection from social stigmatization due to substitute imprisonment and promote social reintegration.
Frequently Asked Questions
What are the requirements for granting an installment payment for fines?
To be approved for payment of a fine in installments, certain personal and financial conditions must generally be present. The decisive factor is the lack of sufficient capacity of the convicted person, i.e., he or she is not able to pay the entire fine in a single sum without endangering their own livelihood or that of dependents. Inability to pay must be credibly demonstrated—for example, by submitting proof of income, rental agreements, obligations, and, if applicable, other evidence of current expenses. An application for payment relief must generally be submitted in writing to the court or the enforcement authority. The decision regarding installment payments is at the discretion of the authority and is what is known as a discretionary decision. A prognosis is always made as to the extent to which the deferred or partly paid fine can be fully settled within a reasonable period.
How does the application process for installment payment proceed?
The application process begins with a written application to the competent enforcement authority or court. The application must clearly outline the reasons for the requested payment relief, particularly the personal and financial circumstances. Usually, the authority will request additional documents to review income and assets. The applicant is often provided with a self-disclosure form in which all relevant data must be entered. Once all required documentation has been submitted, the authority determines whether and to what extent installment payment appears reasonable. The installment amount and payment period are either suggested or worked out in discussion between the authority and the applicant. The result is communicated in writing.
Which factors are considered when determining the amount and duration of installments?
When calculating the monthly installment amount and the total duration of payment, the authority primarily considers the financial capacity of the person liable to pay. Considerations especially include net income, regular expenses (e.g., rent, maintenance, insurance), and existing liabilities. The aim is for installments to be set so that the liable person retains necessary funds for living expenses, while the fine can still be cleared within a manageable period. In practice, installment periods of up to twelve months are common; in justified exceptional cases, the period can be longer. The total amount of the fine and the time elapsed since conviction also play a role.
What happens if agreed installments are not paid punctually or in full?
If the payer fails to meet their payment obligations under the agreed installment arrangement either on time or in full, the installment agreement may be revoked. In this case, the outstanding balance of the fine becomes due for immediate payment. If payment is still not made, according to Section 459e StPO (Code of Criminal Procedure) so-called substitute imprisonment can be ordered, meaning that the convicted person must serve a custodial sentence instead of paying the fine. Usually, a hearing and, if necessary, a further review of the financial situation will take place before substitute imprisonment proceedings begin.
Can an approved installment payment be amended retroactively?
Yes, an already approved installment payment can in principle be adjusted retroactively to changed financial circumstances. The debtor must submit a corresponding application to the enforcement authority and make the changed situation plausible. This is possible, for example, in cases of sudden unemployment, loss of income, or unforeseen burdens that make it impossible to comply with the original payment agreement. The authority will then review again whether reduction of the installments or an extension of the payment term may be appropriate.
Is there a statutory maximum term for payment in installments?
The law does not stipulate a specific maximum period for installment payments. However, according to Section 42 StGB (Criminal Code), payment reliefs may only be granted if full payment is expected within a reasonable period. In practice, the maximum duration is often limited to 12 to 18 months, but in exceptional cases, longer periods may be approved where the debtor faces particular hardship or the fine is exceptionally high. However, the agreement of long installment periods is always subject to an individual assessment.
Is there a legal entitlement to pay a fine by installments?
There is no legal entitlement to be granted installment payment of a fine. The decision is instead at the reasonable discretion of the enforcement authority (Section 42 StGB, Section 459a StPO). If payment relief is declined, the decision must be justified. An appeal or complaint is possible under certain circumstances, and court service centers and legal application offices offer advice and assistance with forms. Ultimately, however, the individual financial burden must be convincingly demonstrated and substantiated for a positive decision regarding payment relief to be made.
