If the debtor is unable to pay the monthly payments, a collection process is initiated, which results in late interest and additional costs being added to the debt in addition to the overdue payments.

The cost of collection increases the further the claim is in the collection process. Interest is calculated from the due date until the payment date. You can request an agreement on payment of arrears if legal collection has not been initiated by sending a forced sale request to the district commissioner.  The goal of arrears agreements is to enable the applicant to pay off arrears and repay the loan(s).