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//Rate of Interest on Judgment Debts Reduced

Rate of Interest on Judgment Debts Reduced

The rate of interest on judgment debts has been reduced from 8% to 2%, with effect from 1 January 2017, pursuant to the Courts Act 1981 (Interest on Judgment Debts) Order 2016.

This means that the interest accruing and payable by the debtor, once a judgment has been awarded in respect of a debt, will be significantly less at 2% rather than the 8% which was in place since 1989.

This will also impact on those situations where a judgment mortgage has been registered and the debtor wishes to have the mortgage discharged. In these cases, interest on the judgment sum from the date of judgment up to the date of payment is payable by the debtor and this interest amount will now be calculated at the reduced rate of 2% with effect from 1 January 2017.

2017-01-25T11:42:40+00:00January 25th, 2017|Latest News|

About the Author:

Jacci Fox manages the Debt and Asset Recovery Unit and joined the firm in 1988. She has extensive experience and expertise in all aspects of debt recovery, ranging from district […]

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