Interest On Judgment Debt

by SK
(St. louis, MO)

I have an account which went into collection in March 2006. I contacted the company to set up a payment arrangement (after their refusal in prior years) in October 2009. I have paid, as agreed, monthly since then.

However, I am being charged 9% interest DAILY. Is this action legal under the new credit card laws? The company entered a judgment against me in March 2007.

Comments for Interest On Judgment Debt

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Mar 24, 2010
 interest on judgment debt
by: Gerri

I checked my sources which say that judgment creditors in Missouri are allowed to collect 9% interest:

Missouri Revised Statutes 408.040. 1. In all nontort actions, interest shall be allowed on all money due upon any judgment or order of any court from the date judgment is entered by the trial court until satisfaction be made by payment, accord or sale of property; all such judgments and orders for money upon contracts bearing more than nine percent interest shall bear the same interest borne by such contracts, and all other judgments and orders for money shall bear nine percent per annum until satisfaction made as aforesaid.

You'll notice that it does state that 9% is an annual interest rate not a daily interest rate. If you believe you are being charged 9% daily interest, you could do one of two things. You can contact your state Atty. Gen.'s office for advice, or you can contact a local consumer law attorney with experience in debt collection cases. Find out how to get FREE or low cost legal advice about debt collection from a consumer law attorney here.

Please do let us know how this turns out by following up in the comments section below.

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