Small Claims - 8% Interest

dont_use_vistaprint

Hi

Preparing for the online form and need to calculate the amounts.

This has been going back and forth a while , with various offers I have had and refused, so when exactly can I start calculating the 8% from?

The transaction date , the date I received the goods/services, the date I fill in the online form , or the judgement date, and only then for delay in payment?

Also should I add 8% to the £30 form costs and the potential hearing costs I'll be awarded if I win, or just the disputed amount I'm asking for from the merchant

Thanks

bobbymotors

Its 8% a YEAR not 8% automatically, and Im fairly sure its from date of judgement.

So if you are owed £1000 and its 3 months, its £20 interest

dont_use_vistaprint

I see.

I'm a bit confused still as filling in the form it gives advice how to calculate 8% (yep APR!) interest but if it's from date of judgement you wouldn't do it when lodging the claim ?

DoaM

The interest period would typically start 30 days after the amount owed became due. And it's Bank of England base rate plus 8%, calculated annually and pro-rated.

bobbymotors

if its a £1000 and you get 8% interest on judgement, thats £80 a year, or 22p a day until settled

steampowered

You claim interest from the date your legal claim arose. For example, from the date your invoice became overdue or the date on which the seller was in breach of contract.

There is a section for this on the MCOL form.

bobbymotors

steampowered wrote: »

You claim interest from the date your legal claim arose. For example, from the date your invoice became overdue or the date on which the seller was in breach of contract.

There is a section for this on the MCOL form.

ahh. I didn't know that.

Handy to know if it ever arise, well done.

CIS

What you generally do is to put a total amount of interest at 8% due under s69 of the County Court Act 1984 for the number of days from when the money became due to the date of claim - so, for example, 30 days @ Xp per day = £X.XX .

You then add a request to the court to the N1 claim form for 8% interest of Xp per day as per s69 of the County Court Act 1984. This second amount can be finalised at the date of judgment.

Interest is ultimately at the discretion of the court as to whether the they grant it.