Legal Question in Credit and Debt Law in Illinois

I know that a hospital is allowed to charge interest on a bill. My daughters delinquent bill of course went into collection. She agreed to pay x amount a month. She was late on at least one payment. So they ended up doing a wage garnishment. My question is that the papers state that she is being charged 9% simple interest accruing daily, so is she being charged 9% interest DAILY?


Asked on 1/27/16, 9:59 am

1 Answer from Attorneys
Thomas Moens Moens Law Offices, Chartered

It should mean that the interest rate is 9% per years, and it accrues daily. In other words, if the amount owed is $10,000.00, the interest would be $900.00 per year or about $2.50 per day. If she paid it off today it would be $10,000.00. If she paid it off tomorrow, it would be about $10,002.50, in month it would be about $10,075.00, and in a year $10,900.00

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Answered on 1/27/16, 1:00 pm


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