In 2025, Thailand has recently taken a significant step in reforming its debt enforcement framework by approving a reduction in enforcement-related fees. This policy—driven by the government and the Ministry of Justice—aims to alleviate financial pressure on debtors while promoting more efficient and accessible enforcement proceedings.
The reform reflects a broader policy direction toward balancing creditor rights with debtor protection, particularly in light of rising household debt and economic recovery challenges.
Enforcement Costs in Thailand
Under Thai law, enforcement of judgments—whether through asset seizure, public auction, or other execution measures—requires proceedings through the Legal Execution Department. These processes often involve statutory fees and administrative costs, which can become a barrier for both creditors seeking recovery and debtors attempting to resolve outstanding obligations.
High enforcement costs may discourage creditors from pursuing enforcement, increase the financial burden on debtors, and delay resolution of disputes and debt recovery.
New Enforcement Fees
In 2025–2026, the Thai Cabinet approved a policy to reduce enforcement-related fees, with the key objectives of lowering the cost burden on debtors, encouraging voluntary compliance and settlement, and promoting mediation and negotiated debt resolution.
The reform is part of a broader initiative to address household debt and improve access to justice. According to recent reports, the measure is intended to support negotiations and reduce the need for prolonged enforcement proceedings. Below is the new enforcement fess, which is effective from 10 September 2025:
- Public auction from 3% ➝ 2%
- Attachment of money from 2% ➝ 1%
- Auction among parties from 2% ➝ 1%
- Release of seizure or attachment from 1-2 % ➝ None
Policy Rationale
The enforcement fee reduction aligns with several policy goals:
1. Reducing debt burdens
By lowering enforcement costs, the government aims to make it easier for debtors to settle outstanding obligations, avoid escalating enforcement expenses, and re-enter the financial system more quickly.
This is particularly important in Thailand’s current economic climate, where household debt levels remain a key concern.
2. Encouraging early resolution
Lower enforcement fees create incentives for both parties to engage in mediation or settlement discussions, resolve disputes before costs escalate, and avoid prolonged litigation and execution processes.
3. Improving enforcement efficiency
The reform is also expected to increase the number of enforceable cases, reduce procedural delays, and enhance overall efficiency within the enforcement system.
Legal and Practical Implications
For creditors, lower enforcement costs may make it more economically viable to pursue smaller claims. This includes increasing the likelihood of recovery through negotiated settlements and providing more efficient enforcement processes, which may reduce time to recovery.
For debtors, the change reduces financial pressure during enforcement proceedings, creates greater opportunity to negotiate repayment terms, and reduces risk of disproportionate cost escalation.
Overall, lower enforcement costs supports broader judicial efficiency and access to justice.
Key Takeaways
1. Lower financial barriers to enforcement
The reduction in enforcement fees decreases the cost of accessing legal remedies, benefiting both creditors and debtors.
2. Improved recovery environment for creditors
Creditors may experience higher recovery rates due to increased debtor cooperation and reduced procedural friction.
3. Incentivised settlement and mediation
The reform aims to encourage the creditors and debtors to enter mediation during enforcement proceedings. The reduction of enforcement fee will incentivize the debtors to protect their assets and encourage debt restructuring negotiations.
How Our Firm Can Help
With enforcement dynamics evolving, strategic legal and investigative support is more important than ever. At Skyinterlegal, we assist clients by:
- Advising on cost-efficient enforcement strategies under the new fee structure
- Representing creditors in execution proceedings and settlement negotiations
- Leveraging our asset tracing expertise—rooted in our background as a private investigation firm—to locate recoverable assets
- Designing enforcement approaches that maximise recovery while minimising time and cost
By combining legal expertise with real-world asset intelligence, we help clients take full advantage of Thailand’s evolving enforcement landscape.
Conclusion
Thailand’s enforcement fee reduction marks an important development in the country’s civil justice and debt recovery framework. By lowering the financial barriers associated with enforcement, the reform promotes a more balanced, efficient, and accessible system for both creditors and debtors.
For businesses and practitioners, the change presents an opportunity to rethink enforcement strategies—placing greater emphasis on cost-effective recovery, negotiation, and strategic use of legal mechanisms.