By: Erika Strebel, [email protected]//February 18, 2016//
By: Erika Strebel, [email protected]//February 18, 2016//
The state Assembly has given its stamp of approval to a proposal that would increase the interest rates that accrue on small claims judgments.
Under current law, the annual interest rate on a small claims money judgment is 1 percent plus the prime rate. The interest accrues starting on either Jan. 1 or July 1 of the year the judgment is entered, depending on whether the judgment was entered before or after June 30.
The bill, Assembly 95, would increase that interest rate to 8 percent.
Lawmakers passed the bill on a voice vote Thursday, the last floor session of its term.
The bill now heads to the Senate, where it needs a full vote. It would also need the signature of Gov. Scott Walker to become law.