What is a bank account levy?

When a debtor does not make payment of a debt during the voluntary period, or during the period granted with the notification of the enforcement order that he has received ( deadlines of article 62.5 LGT ), which already includes the corresponding surcharge, the embargo phase will begin. In this phase, debt collection is carried out by seizing the assets owned by the debtor, issuing the corresponding seizure proceedings to obtain the amount of the debts plus surcharges, interest and costs through these assets.

Seizure proceedings are classified according to the types of assets seized, and may therefore include seizure proceedings for accounts, credits, securities, real estate, among others. 

Seizure proceedings shall be based on the principle of proportionality and, in general, the debtor's assets shall be seized in the following order: 

• Cash or in accounts in credit institutions
• Credits, effects, securities and rights realizable immediately or in the short term.
• Salaries, wages and pensions.
• Properties
• Interest, income and fruits of all kinds.
• Commercial or industrial establishments.
• Precious metals, jewelry and antiques.
• Movable or livestock property.
• Credits, effects, securities and rights realizable in the long term.

 If you receive a seizure order from another person or entity, this will occur because you have or have had a relationship with that person or entity and therefore you are receiving it as a “payer”. In this case, it will be necessary and mandatory to respond to the notice received and, where applicable, pay the AEAT the payments that must be made to the person or entity indicated in the notice.

When the amount of the seizure order is paid by a third party payer to whom the order has been addressed (example: a credit seizure order), the recipient of the order (that third party) is released from the obligation to pay the debtor since the amount has already been paid to the AEAT.

Notifications may also be received to inform you that property registered as the property of the person receiving the notification is being seized.

 If you have received a notice of seizure because you are the debtor, it provides information on the property that has been seized and the amount for which it has been seized. If the debtor pays the entire debt contained in the notice, the embargo is lifted. This payment can be made at any time before the recipient of the diligence pays or the seized asset is auctioned or executed.