Legal Question in Civil Litigation in Maryland

Judgment interest yearly or monthly ?

Hello , i have been collecting judgments for 5 years now in maryland for other people. I have been adding to the judgment 10% per year... I over heard two lawyers talking about interest and they said to collect it monthly instead of yearly... Could this be right ????????

Thank you for your time ....Michael sollberger


Asked on 10/22/02, 9:45 pm

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Judgment interest yearly or monthly ?

Interest on judgments in MD is calculated on a simple interest basis at 10% annually, unless otherwise specified. So a $100 judgment is worth $110 in a year, $120 in 2, etc. You take the annual rate/365 to get a daily rate and then multiply by the number of days. It does not compound at all - no interest on interest.

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Answered on 10/22/02, 10:23 pm


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